With limited companies, a number of different, but related issues can arise. Minority shareholders in limited companies have a number of protections and remedies to ensure that they are not being treated prejudicially by those who control the company.
There is a degree of complexity in pursuing these actions, as they involve a forensic analysis of the company’s wrongful actions, and an analysis of the financial consequences of these actions. Alba Claims may be able to assist in the pursuit and resolution of such claims.
Complete our online enquiry form or contact us on 0131 550 0401 to find out how we could help.
Directors Disputes
Our expert panel of lawyers** can provide advice on a wide variety of potential disputes involving limited companies. Example are:
- Directors’ duties. Directors owe various duties to act with integrity towards the company, towards the shareholders and, in an insolvency situation, towards the relevant insolvency practitioner. These duties arise from the Companies Act 2006 and our panel solicitors** can advise as to the nature of the duties in question and whether they have been breached by a director.
- Conflicts of interest. Directors of companies are under a duty not to act in a way which may cause a conflict of interest as a result of, for example, holding a position with a competing company.
- Payments to directors. There are strict rule regarding the payments which may be made by a company to directors. This is in order to protect shareholder funds from being dishonestly obtained by corrupt directors. If you believe there have been unauthorised payments from the company to a director, we can assist in a claim for repayment of those funds.
Shareholder Protection
Many company decisions are made by majority vote of the company’s shareholders. However, shareholders in the minority are still entitled to various rights to protect them from majority dominance. Our panel of expert lawyers** can advise on:
- Unfair prejudice. The Companies Act 2006 prohibits the carrying out of company business in a way which imposes unfair prejudice on its members. A shareholder who believes that the activities of the company are being carried out in a prejudicial manner may petition the court to have their interests protected. Our panel solicitors** can advise on what conduct may amount to unfair prejudice and what remedies may be available to a shareholder who believes their interests are at risk.
- Derivative proceedings. In certain circumstances, shareholders can raise proceedings on behalf of the company against a director or majority shareholder in order to protect the interests of the company. Our panel solicitors** can advise as to whether this is an appropriate approach and guide you through an action raised under these rules.
Why choose Alba Claims?
Alba Claims have developed an innovative no win, no fee* funding model which means that you will be able to pursue court actions using our panel lawyers** without worry about the legal fees incurred by pursuing your claim. We offer a confidential no obligation consultation, so get in touch today to find out how we could help.
Contact our Alba Claims team today
Complete our online enquiry form or contact us on 0131 550 0401 to find out how we could help.
*Other costs could be payable.
**Claims are referred to our panel of solicitors.
“Alba Claims is an innovative way for businesses to pursue commercial claims on a no win no fee basis. Businesses are often unable to pursue claims either because the cost of litigation is too high or they consider that they can deploy their finances for a better return elsewhere. Alba Claims can help address this with their no win no fee mechanism.”
Keith Barbour, CEO, Mid & East Lothian Chamber of Commerce