Safeguarding Your Business During a Partnership Dispute
One of our clients set up a company in Bali and listed a friend as a co-founder. However, the friend did not actively engage in the business — there were no financial contributions, and he did not participate in the company's management. His role was purely nominal.
Eventually, a serious dispute developed, with the friend demanding 50% of the business based on their co-founder status. Despite our client’s efforts to settle the matter amicably by offering compensation, the former partner remained adamant, insisting on their claim to half of the business and threatening legal action.
In this complex situation, the client sought our legal counsel. Our team conducted a thorough review of all documents related to the company’s formation and each founder's contributions. It became evident that, at the time of registration, the friend had neither made financial contributions nor participated in the company’s operations.
With this evidence, we prepared a legally robust case to exclude the friend from the list of company founders. The process required meticulous preparation and precise documentation to mitigate the risk of future disputes. Ultimately, we succeeded in excluding the friend as a "non-contributing participant," thereby safeguarding our client's business from unjust claims.
This case underscores the crucial need for meticulous drafting of founding documents and proactive consideration of the risks posed by personal relationships in business. Thanks to our efforts, our client’s business was effectively safeguarded, and its legal protection was strengthened.
If you are encountering a business dispute or if your rights are at risk, our experienced legal team is ready to defend your interests. Contact us for expert legal assistance and the assurance that your business will be protected. We are committed to finding the optimal resolution for any contentious situation.
