Results 1 to 7 of 7
  1. #1

    Default My Partner is Trapping/Forcing Me to Stay in the LLC

    My question involves business law in the state of: Florida



    Let me start off by saying thank you for taking the time to read about my dilemma

    To make the long story short, let me begin by saying that before my partner and I
    formed a LLC together, I trusted this man with all my heart. I knew him for a while
    and he is also my in-law, I figured he can't screw me over.

    My partner and I agreed that the LLC will be a 50-50 partnership and the initial
    investment is 50k. He didn't have the initial funding so the whole 50k was my
    money. We verbally agreed that he will later pay me back 25k because it is a
    50-50 partnership. I gave him (30K cash and 20K from my father) and I let him take care all of the paperwork
    such as finding an attorney, setting up the LLC, etc because I am not realy good
    with paperwork.

    1 year after the business open and we filed the business tax and I asked him for
    a copy and he refused. I got suspicious so I asked the CPA myself for the copy.
    On the tax return it states out of the 50k, he put in 35k (70%) and I only put 15k (30%).
    He did all of this witout me knowing! He made himself the majority owner.

    He doesn't know I have the tax return

    I want to remove my name from the LLC and have asked my partner to help me do so since he takes care of all the paperwork
    and he said no. I do not want to do any business with him anymore since he cheated me but I'm afraid that since he is the majority owner,
    he can stop me from removing my name. I honestly don't even care about the initial investment that he cheated me, I just want my name remove from the LLC so I
    no longer am part of it but my partner is making it extremely difficult for me to do so with all kinds of threats (nothing
    violent or abusive) such as the business will die if I leave, he needs me, etc.

    Throughout this LLC parntership, I have worked so hard. I put in 110% and I feel like he does not. He always blames me
    and never appreciates my work. I feel mistreated, unvalue, angry, sad, disappointed, and frustrated. I want to end things on a good note because
    he is my in-law after all and I value family a lot. However, I have to leave this LLC partnership because he is treating
    me like a slave and he wants to control me.

    My questions:

    Since he is the majority ownership, how can I get the attorney to write a dissolution and remove my name
    from the LLC?

    Should I find a lawyer in Florida (where we are at) or can I also find an out of state lawyer such as in California since my friend
    knows a few attorneys there?

    What are my chances of winning (to remove my name)

    If I decide to sue him for the initial investment, what are my chances of winning? I'm afraid there are no paper trails of me giving him the 50K?

  2. #2
    Join Date
    Oct 2006
    Posts
    16,474

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    Quote Quoting terminator_backz
    View Post
    My question involves business law in the state of: Florida



    Let me start off by saying thank you for taking the time to read about my dilemma

    To make the long story short, let me begin by saying that before my partner and I
    formed a LLC together, I trusted this man with all my heart. I knew him for a while
    and he is also my in-law, I figured he can't screw me over.

    My partner and I agreed that the LLC will be a 50-50 partnership and the initial
    investment is 50k. He didn't have the initial funding so the whole 50k was my
    money. We verbally agreed that he will later pay me back 25k because it is a
    50-50 partnership. I gave him (30K cash and 20K from my father) and I let him take care all of the paperwork
    such as finding an attorney, setting up the LLC, etc because I am not realy good
    with paperwork.

    1 year after the business open and we filed the business tax and I asked him for
    a copy and he refused. I got suspicious so I asked the CPA myself for the copy.
    On the tax return it states out of the 50k, he put in 35k (70%) and I only put 15k (30%).
    He did all of this witout me knowing! He made himself the majority owner.

    He doesn't know I have the tax return

    I want to remove my name from the LLC and have asked my partner to help me do so since he takes care of all the paperwork
    and he said no. I do not want to do any business with him anymore since he cheated me but I'm afraid that since he is the majority owner,
    he can stop me from removing my name. I honestly don't even care about the initial investment that he cheated me, I just want my name remove from the LLC so I
    no longer am part of it but my partner is making it extremely difficult for me to do so with all kinds of threats (nothing
    violent or abusive) such as the business will die if I leave, he needs me, etc.

    Throughout this LLC parntership, I have worked so hard. I put in 110% and I feel like he does not. He always blames me
    and never appreciates my work. I feel mistreated, unvalue, angry, sad, disappointed, and frustrated. I want to end things on a good note because
    he is my in-law after all and I value family a lot. However, I have to leave this LLC partnership because he is treating
    me like a slave and he wants to control me.

    My questions:

    Since he is the majority ownership, how can I get the attorney to write a dissolution and remove my name
    from the LLC?

    Should I find a lawyer in Florida (where we are at) or can I also find an out of state lawyer such as in California since my friend
    knows a few attorneys there?

    What are my chances of winning (to remove my name)

    If I decide to sue him for the initial investment, what are my chances of winning? I'm afraid there are no paper trails of me giving him the 50K?
    Unless you gave him 50k in cash, there has to be a paper trail.

    He cannot force you to work in the LLC. He cannot prevent you from walking away from it. Consult with a local attorney for ways to remove your name from it entirely.

  3. #3
    Join Date
    Oct 2014
    Posts
    8,238

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    Before we dive into your questions, note that the what he claimed the relative ownership was on the tax return is not conclusive of what the ownership actually is. If you wanted to keep your 50% and can prove that the deal was for 50% then you could get that 50% interest. The fact that you evidently set this up on a verbal agreement and didn't look over the documents he did like the LLC charter and operating agreement right at the start to ensure it properly reflected the terms of the deal will make proving that you had 50% interest in the LLC more difficult, of course, but you might still be able to prove what the deal was anyway. It sounds, though, like you've made your mind up to get out of the LLC.

    Quote Quoting terminator_backz
    View Post
    Since he is the majority ownership, how can I get the attorney to write a dissolution and remove my name
    from the LLC?
    If all you want is to get out the LLC you don't need to dissolve the LLC. You can simply give back your interests to the LLC or to your partner and be done with it. You probably don't need an attorney for that. If the LLC is organized in Florida then the state does not even need to be notified of the change in members of the LLC. If you really want the LLC dissolved, then the way to get an attorney for that is to call a few attorneys who handle corporate law/business law matters to find one you like and hire him/her to do that.

    Quote Quoting terminator_backz
    View Post
    Should I find a lawyer in Florida (where we are at) or can I also find an out of state lawyer such as in California since my friend knows a few attorneys there?
    You need an attorney licensed in the state where the LLC is organized. If that's Florida, you need a Florida attorney. A California attorney cannot help you with a Florida legal matter unless he or she is also licensed in Florida.

    Quote Quoting terminator_backz
    View Post
    What are my chances of winning (to remove my name)
    You can always get out of the LLC. That's easy. If you want to dissolve the LLC, though, or want the partner to cough up cash for you to get out, that's a different matter. How likely it is you would succeed in dissolving the LLC or getting the amount of money you want out of it depends on all the facts and the evidence you have. You'd discuss that with the attorney.

    If I decide to sue him for the initial investment, what are my chances of winning? I'm afraid there are no paper trails of me giving him the 50K?

  4. #4
    Join Date
    Sep 2020
    Posts
    11

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    he can stop me from removing my name. I honestly don't even care about the initial investment that he cheated me, I just want my name remove from the LLC so I

  5. #5
    Join Date
    Oct 2014
    Posts
    8,238

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    Quote Quoting EVAKATY75
    View Post
    he can stop me from removing my name.
    Not really, no. If you want out, you'll be able to get out.

  6. #6
    Join Date
    Jul 2018
    Posts
    2,745

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    Quote Quoting Taxing Matters
    View Post
    Not really, no. If you want out, you'll be able to get out.
    FYI, this is a 2+ month old thread, and what "EVAKATY75" wrote is a direct quote out of the original post. Based on this and other posts, I assume it's a spam seeder and have reported it as such.

  7. #7
    Join Date
    Sep 2020
    Posts
    11

    Default Re: My Partner is Trapping/Forcing Me to Stay in the LLC

    [QUOTE=EVAKATY75;1150862]he can stop me from removing my name. I honestly don't even care about the initial investment that he cheated me, I just want my name remove from the LLC so Nox Vidmate VLC

    1. Sponsored Links
       

Similar Threads

  1. Breaking Up: Rights of a Long-Term Domestic Partner to Stay in a Home
    By lawfacts in forum Marriage, Cohabitation and Civil Unions
    Replies: 1
    Last Post: 11-24-2016, 07:20 PM
  2. Business Disputes: Business Partner is Forcing Sale of Company After Hassament Claims
    By Dustinca in forum Business Law
    Replies: 1
    Last Post: 03-20-2015, 07:10 AM
  3. Moving Out: Landlord Forcing Me to Stay One More Year
    By franche82 in forum Landlord-Tenant Law
    Replies: 2
    Last Post: 08-14-2011, 01:53 PM
  4. Pets and Animals: Someone in My Neighborhood is Trapping Pets
    By lemming in forum Personal Property
    Replies: 8
    Last Post: 02-13-2010, 11:26 PM
  5. Attorney Forcing Me to Stay As P.R.
    By beaver_1977 in forum Estate Planning, Administration and Probate
    Replies: 2
    Last Post: 11-30-2009, 06:23 PM
 
 
Sponsored Links

Legal Help, Information and Resources