Business Partnership Advisor

Together, we can fix your business and partnership problems

Chris Reich, Business Luminary

Do You Need a Lawyer or a Mediator for Your Partnership Problem?

Chris, maybe I should call a lawyer instead of a mediator. My problem is pretty serious. What do you think?

Lawyer or Mediator: What’s the Difference?

Lawyers litigate. Your lawyer can only represent you. That means your partner will need a lawyer if you get a lawyer. Things get expensive fast when you have two people charging $400/hour. Taking your action into court will cost YOU around $50,000 at a minimum. (125 Hours. That’s only 2 1/2 weeks!)

Mediators sit down with all the parties and try to find common ground. Mediators charge around $400/hr. and typically have minimums of 6-8 hours per day or a total minimum case cost of $10,000. (Note: I charge considerably less and have no minimums.)

It sounds like mediation is the way to go, right? Maybe not.

What’s Your Desired Outcome from your Partnership Dispute?

This is the most important factor to decide whether you need a lawyer or a mediator.

What does fixing your dispute involve? If you want your partner removed from the business because she violated her fiduciary responsibility and harmed the firm, you’ll need a lawyer. Any time you ‘require’ action against your business partner, you’ll probably need a lawyer unless your partner agrees to the punishment. It’s possible. I’ve seen things get so bad that a partner will walk away from a business, but the departing partner is rarely the offender.

 

Lawyer or Mediator for your Partnership problem will depend on the desired resolution.

Chris Reich can help you with professional mediation.

Other Situations Where You’ll Need a Lawyer

Your partner may be embezzling from the company. That can be a criminal act and you may need a lawyer to help you get enough attention that the local jurisdiction will prosecute. (Don’t hold your breath) You’ll probably have to sue for damages. A lawyer is needed.

If your partner is filing false tax documents, you will want a lawyer to protect you when the walls cave in. Any time a partner is willfully breaking the law, you had better speak with a qualified business attorney.

What if You Want Out of a Business Partnership?

A good mediator can negotiate a buyout. I also advise clients on the terms of a buyout if the other party is merely belligerent. I can mediate the buyout on behalf of the business or I can work as your representative or adviser to obtain a fair buyout.

If your Partnership Agreeement sets terms for a voluntary exit from the partnership but your partner refuses to honor the agreement, you’ll need a lawyer to enforce that.

Sometimes I Work with the Client’s Lawyer

There are cases where I work with the lawyers involved as an intermediary, a go-between, to facilitate reaching an agreement without going to court.

Get Advice First

I have two goals with every new client. #1, provide help. #2, be prudent with my client’s money. If you call me about your partnership problem and I think you should call a lawyer, I’ll tell you. That’s why I always give a free consultation to every new potential client. I can determine if you would be better served by calling an attorney. I don’t mind at all.

Also, there are times when I recommend that we first take a stab at trying to fix things before calling an attorney. Just don’t wait to act. Bad business partnerships get worse with time. Don’t wait to call.

Best wishes for your success,

Chris Reich, Business Mediator

Did You Like This Post? Would You Please Rate It?

Click on a star to rate it!

Average rating 4.7 / 5. Vote count: 33

No votes so far! Be the first to rate this post.

4.7
(33)

“If you have a business partnership that is going sour, get qualified advice. These things get worse with time, not better.”

Do you like FREE services? Contact me now for a 100% confidential and 100% FREE consultation.

Prefer a direct approach?

Email: [email protected]

Phone: (530) 467-5690

Violence in a Business Partnership is a Very Serious Matter

Violence By a Business Partner Is Never OK

If your business partner ever is violent, call 911 immediately. Yes, even if he missed. You want to document threats of or actual violence.

Business Partner Buyout Surprise

Why Is This a Big Surprise in Buyout Negotiations?

Don’t be surprised if parties act in their own best interest during negotiations. That is normal. I would be surprised if they didn’t!

Game Theory Will Help You Be a Better Negotiator

Negotiate Your Best Partnership Buyout Using Game Theory

Game Theory is a very useful tool in business negotiations. In this post, I’ll give a broad overview on how Game Theory can help you negotiate your best deal with your business partner.

When does tnershid?

When Does a Partnership Begin? And End?

I get calls from frustrated business partners all the time. Often, the level of tension is so high, that one partner will move the banking, hide the books, take out a lump sum of cash, close out all social media, or some other drastic measure before properly closing out the partnership. This post explains when it is legal to take action in a partnership when a partner is disruptive.

Summary
Do You Need a Lawyer or a Mediator for Your Partnership Problem?
Article Name
Do You Need a Lawyer or a Mediator for Your Partnership Problem?
Description
Lawyers litigate. Your lawyer can only represent you. That means your partner will need a lawyer if you get a lawyer. Mediators sit down with all the parties and try to find common ground. Any time you ‘require’ action against your business partner, you’ll probably need a lawyer unless your partner agrees to the punishment. It’s possible.
Author
Publisher
TeachU.com
https://teachu.com/wp/wp-content/uploads/TeachU-siteicon.jpg