“Company, trust, partnership, and director disputes are complex areas of commercial litigation that involve resolving conflicts among business entities and their key stakeholders. These disputes can arise from issues such as breach of fiduciary duties, disagreements over business decisions, misuse of company assets, or breaches of partnership agreements. The resolution process may include negotiation, mediation, arbitration, or litigation to achieve outcomes such as damages, specific performance, or injunctive relief.”
Principal Solicitor & Legal Practice Director
At AKS Law, we understand that disputes within companies, trusts, partnerships, and among directors can significantly impact your business’s stability and success.
These conflicts often involve complex legal and financial issues that require experienced guidance from a commercial litigation lawyer.
Led by Aaron Stewart, our Principal Solicitor and Legal Practice Director, our law firm is dedicated to providing strategic and effective dispute resolution solutions across Queensland.
KS Law specializes in resolving property matters with a deep understanding of relevant legislation, case law, property law, and best practices. Our team is committed to ethical standards, transparency, and providing practical and commercially viable advice.
Whether you are facing internal disputes within your company, trust, or partnership, or conflicts among directors, we are here to support you every step of the way.
Conflicts between shareholders, directors, and officers can arise from mismanagement, breaches of fiduciary duties, or disagreements over business strategy. We help navigate these disputes to protect your interests.
Disagreements regarding the administration, distribution, and management of trusts can lead to significant conflict. Our team can help resolve these issues effectively.
Partnership conflicts may involve breaches of partnership agreements, misappropriation of assets, or disputes over profit sharing. We provide comprehensive legal support to resolve these matters.
Directors may face allegations of misconduct, breach of duty, or conflicts of interest. We offer legal solutions to address these serious issues.
No matter the nature of your business dispute, AKS Law dispute resolution lawyers are equipped to assist you in achieving a resolution that protects your interests and promotes your business’s success.
Engaging with AKS Law means partnering with a law firm committed to your business’s well-being. Here’s our five-step process to guide you through resolving business disputes:
If you are facing a business dispute, whether within a company, trust, partnership, or involving directors, we are here to help. Work with a skilled lawyer at AKS Law to protect your business interests and aim for a satisfactory outcome.
First, gather and document all relevant evidence, such as communications and financial records. Communicate your concerns with the director if appropriate. If the issue is not resolved, seek legal advice to understand your rights and the best course of action.
Yes, directors can be held personally liable if they breach their duties, act negligently, or engage in misconduct that results in harm to the company. Legal action can be taken to hold them accountable for their actions.
A breach of trust occurs when a trustee fails to act in the best interests of the beneficiaries, mismanages trust assets, or violates the terms of the trust agreement. If a breach occurs, you can seek legal remedies such as removal of the trustee, recovery of lost assets, or compensation for damages.
Disputes between company directors can stem from a variety of issues. These often include disagreements over the management or strategic direction of the company, breaches of directors’ duties such as failing to act in the best interests of the company, and conflicts of interest. Disparities in remuneration and instances of fraud or misconduct by a director are also common sources of contention.
In Australia, directors have several statutory duties under the Corporations Act 2001 (Cth). These duties include the duty of care and diligence (Section 180), the duty to act in good faith and in the best interests of the company (Section 181), the duty not to improperly use their position (Section 182), the duty not to improperly use information (Section 183), and the duty to prevent insolvent trading (Section 588G).
There are several ways to approach resolving director disputes. Negotiation and mediation are often the first steps, allowing the parties to reach a mutual agreement. Shareholder solutions, such as buy-out provisions, can also be effective. In more severe cases, legal proceedings, including court actions for breaches of duties, may be necessary. The disputing director may choose to voluntarily resign or sell their shares.
Trust disputes frequently arise from breaches of trust by the trustee, disagreements over the interpretation of the trust deed, and allegations of bias or bad faith by the trustee. Other common issues that can lead to conflict are requests to remove or replace the trustee and disputes over the distribution of trust assets.
Trustees have fiduciary duties to act in the best interests of the beneficiaries. These duties include administering the trust according to the trust deed, acting impartially among beneficiaries, avoiding conflicts of interest, and providing information to beneficiaries upon request.
Trust disputes can be resolved through negotiation and mediation, which help the parties reach a mutual agreement. Court intervention may be necessary to interpret the trust deed or approve trustee actions. Legal proceedings can also be pursued to remove or replace the trustee or to seek compensation for breaches of trust.
Partnership disputes often arise from disagreements over the management or direction of the business, underperformance or misconduct by business partners, conflicts of interest, and disputes over profit distribution or financial contributions.
Partners owe each other fiduciary duties, which include the duty of loyalty and good faith, the duty to act in the best interests of the partnership, and the duty to disclose relevant information and avoid conflicts of interest.
These disputes can be resolved by reviewing and following the dispute resolution clauses in the partnership agreement. Negotiation and mediation are common approaches to reach an amicable solution. If these methods fail, legal proceedings, including seeking court orders for the dissolution of the partnership or compensation for breaches of duties, may be necessary.
It is advisable to seek legal advice as early as possible when a dispute arises. Early legal counsel helps you understand your rights and obligations, explore potential resolutions, and minimize the impact on your business or trust.
Alternative dispute resolution (ADR) methods, such as negotiation, mediation, and arbitration, offer several benefits. They are generally faster and cheaper than litigation, allow parties to control the outcome, and can preserve business relationships by fostering cooperative solutions.
A well-drafted partnership or shareholder agreement should include clear definitions of roles and responsibilities, dispute resolution procedures, provisions for profit distribution and financial contributions, and mechanisms for the exit or removal of business partners or shareholders.
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