Shareholder Dispute Attorneys in Indianapolis, Indiana

Shareholder disputes are often stressful and contentious issues. If you're a shareholder who's in disagreement with other shareholders, Smid & Merchant is here to help you. Led by seasoned business litigation attorneys who are well-versed in resolving shareholder disputes, we believe that every shareholder deserves their voice to be heard and their interests protected.  

Disputes among shareholders can arise for various reasons, including disagreements over company direction, breach of fiduciary duties, or concerns about financial mismanagement. Whatever the cause, it is vital to address these issues promptly and effectively to avoid long-term damage to the company’s health and value. 

Located in Fishers, Indiana, we serve clients throughout the state, including Indianapolis, Carmel, Noblesville, and Zionsville. Reach out today to schedule a consultation.

How Can an Attorney Help with Shareholder Disputes?

Shareholder disputes can derail the growth and stability of a business. They often involve complicated legal and financial issues that require the advice and direction of a knowledgeable legal professional. Smid & Merchant has helped countless clients resolve conflicts with solutions tailored to their situations. Some of the ways an experienced business litigation lawyer can help include: 

• Understanding your rights: Shareholders' rights are governed by state and federal laws. We help you understand them and how they apply to your situation. 

• Protecting your investment: Disputes can negatively impact the value of your shares. Legal intervention can mitigate this risk. 

• Finding a resolution: Sometimes, disputes can be resolved through negotiation or mediation. Other times, litigation might be necessary. We represent your interests through every step of the process. 

• Maintaining business relationships: We aim to resolve disputes in a way that preserves professional relationships whenever possible, recognizing the importance of ongoing collaboration for the company's success. 

• Handling complicated transactions: Shareholder disputes can stem from complicated business transactions or decisions that affect the company’s operation. We help you understand them so that your interests are protected throughout the process.

What Causes Shareholder Disputes?

Shareholder disputes can arise from various situations, including but not limited to: 

• Breach of fiduciary duty: This occurs when one or more shareholders believe that another shareholder or director has acted against the company's best interests. 

• Disagreement over company direction: Shareholders may have different visions for the company's future, leading to conflicts about strategies and goals. 

• Financial mismanagement: Concerns about how company funds are used can lead to serious disputes. 

• Minority shareholder oppression: Minority shareholders might feel that their interests are being overlooked or unfairly treated by majority shareholders. 

• Exit strategies: Disagreements over the terms and conditions of share buybacks or exits can also spark disputes. 

• Unequal distribution of profits: Disparities in how profits are allocated among shareholders can lead to discontent, particularly if some shareholders believe that distributions do not reflect their contributions or entitlements. 

Indiana Laws Governing Shareholder Disputes

In Indiana, corporate governance and shareholder rights are primarily governed by the Indiana Business Corporation Law (IBCL). This body specifies the rights and responsibilities of shareholders, directors, and officers within a corporation. Some of the key provisions include: 

• Fiduciary duties: Under Indiana law, directors and officers have fiduciary duties to the corporation and its shareholders. These duties include the loyalty and care. 

• Shareholder agreements: These agreements establish specific rights and responsibilities for shareholders and are legally binding according to Indiana law. They often include provisions for dispute resolution, transfer of shares, and voting rights. 

• Derivative suits: Indiana law allows shareholders to file derivative suits on behalf of the corporation if they believe the directors or officers have breached their fiduciary duties. 

• Appraisal rights: Shareholders may have the right to demand a fair valuation of their shares in cases of significant corporate changes, such as mergers or acquisitions. 

• Oppression remedies: Indiana law provides mechanisms for minority shareholders to seek relief if they experience oppressive actions by majority shareholders. This can include demands for equitable treatment and potential legal actions to prevent the continuation of oppressive practices. 

How Our Firm Can Help

When you work with Smid & Merchant, we strive to prioritize your business's well-being. We will conduct a thorough assessment of your situation and help you gather all relevant facts and documentation. Our goal is to understand the root causes of the dispute and help you identify the best avenue for resolution. Some ways we can help include: 

• Negotiation and mediation: Many disputes can be resolved without going to court. We facilitate discussions between parties, aiming for a mutually beneficial agreement. 

• Litigation: If court intervention is necessary, we can represent your interests aggressively and competently. 

• Custom solutions: Every business is unique, and so is every dispute. We tailor our strategies to fit the needs and goals of your company.

Contact us today to schedule a consultation and find the best option to resolve your shareholder or business dispute.