How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Maverick Your Own Question

Maverick
Maverick, Attorney
Category: Business Law
Satisfied Customers: 3520
Experience:  13+ years of experience
16823287
Type Your Business Law Question Here...
Maverick is online now
A new question is answered every 9 seconds

What are Tennessee laws that protect minority shareholder

Resolved Question:

What are Tennessee laws that protect minority shareholder?
Submitted: 5 years ago.
Category: Business Law
Expert:  Maverick replied 5 years ago.

At the link below you will find the TN law on corporations. Minority shareholder rights are interevowen throughout the code but is more based on common law. Please state your specific issue so we can assit you better.

 

http://www.michie.com/tennessee/lpext.dll?f=templates&fn=main-h.htm&cp=tncode

 

 

Customer: replied 5 years ago.
I own an insurance co with my brother & sister. We were third party admin for a health care co for 25 yrs. Due to hippa our contract was cancelled-we continue to get the residuals off the inforce policies as long as they are on the books. We began to represent 2 other co's & recruited agents. Our equal shares of stock were gifted to us over the years by our father. We had 30 plus employees during the prime of our business & down to siblings self & 1 employee- health insurance not selling well & the co's we represent have a higher premium then Blue Cross Blue Shield. Anyway I showede them on P & L that the only thing keeping us going is residuals from company we used to represnt. On of the co's we concentrate on only gave us commissions of $250.00 last month- prooving the residuals from before keep us going. We had been in the red a few months ago & we quit our paydays til we got back in the black. I was in chg of employees and mj of work at the agency while my sister did her thing. My husband was employed there until the 2 of my siblings met privatly & decided only me or my husband could work there-that is fine but they were sneaky. In June when he left my siblings were teaming up- our only employee said you know they are teaming against you- I did know this, I began having headaches, stomach problems & had to quit. Yesterday with co lawyer & acct- I proved that we were only living on residuals & we would all have more money if we closed the doors. They are removing me from the board next wk. I asked for my third of residuals less expenses of one third of ex-contract on copy machine,phone service- to only pay by third if we closed the doors. They voted yesterday to divide profit by thirds for Sept & put themselves back on salary of $5,000 a month for Oct, Nov, Dec & after each of those months to take the profit and divide it by thirds & give me one third of profit. My point it is one third of my gifted shares is going down the tubes because there is very little new income to support the agency & they want to keep trying- it has been down for a few yrs
Customer: replied 5 years ago.
I am in a family insurance business equally with my brother and sister. We met with the acct in May & we were in the RED. My husband was employed there & my brother & sister met privatly & decided my husband had to go. They were being different enough after that that our only employee said they are teaming up on you- I agreed. I began having headaches,stomach pains & heart palpitations & resigned Aug 31st. I prooved to them yesterday in a meeting with corp atty & acct that the only thing keeping the business going were residuals from a co we have not worked with in 5 yrs. We were third party admin & had 30 employees. The main company we have worked with sense then only generated$250.00 in new commissions in Aug. I want my 3rd of the residuals & agree to pay my part of sevices like contract on phone,copy machine etc. We also own bldg. They voted to split profits for Sept 3 ways . Then in Oct ,Nov, Dec to pay them their original $5,000.00 MO SALARY & SPLIT PROFITS AFTER THAT EQUAL AMONG 3 OF US. tHEY ARE taking my gifted shares= residuals over 27 yrs I was there & waste them on keeping the doors open because they can not stand to close the family business.
Expert:  Maverick replied 5 years ago.

As a minority shareholder you have very few rights. The rights you have extend to reviewing and inspecting the books and records as well as receiving dividends if the company is profitable. You can also ask the company or other shareholders to buy you out. Unfortunately, I am representing a minority shareholder right now and we are having the same types of issues and the law does not provide much leg to stand on. If you feel that they are forcing you out of the company, you may have a case for a shareholder oppression lawsuit, however, these are extremely costly and probably not worth the legal expense and time involved.

 

Please click "Accept" so that I can get credit for this answer. We can continue our conversation after that at no additional charge.

Maverick, Attorney
Category: Business Law
Satisfied Customers: 3520
Experience: 13+ years of experience
Maverick and 7 other Business Law Specialists are ready to help you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Last | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
 
 
 

Meet The Experts:

 
 
 
  • Law Pro

    Attorney

    Satisfied Customers:

    1767
    20 years experience in business law - sole proprietor, partnership, and corporations
< Last | Next >
  • http://ww2.justanswer.com/uploads/LA/lawpro/2012-6-25_171315_PT206740s.64x64.jpg Law Pro's Avatar

    Law Pro

    Attorney

    Satisfied Customers:

    1767
    20 years experience in business law - sole proprietor, partnership, and corporations
  • http://ww2.justanswer.com/uploads/dkaplun/2009-05-17_173121_headshot_1_2.jpg Dimitry K., Esq.'s Avatar

    Dimitry K., Esq.

    Attorney

    Satisfied Customers:

    1495
    Run my own successful business/contract law practice.
  • http://ww2.justanswer.com/uploads/DC/DCraneEsq/2012-8-14_14436_DCrane.64x64.jpg MShore Law's Avatar

    MShore Law

    Attorney

    Satisfied Customers:

    1233
    Drafted Negotiated and/or Reviewed Thousands of Commercial Agreements
  • http://ww2.justanswer.com/uploads/FL/FLAandNYLawyer/2012-1-27_14349_3Fotolia25855429M.64x64.jpg FiveStarLaw's Avatar

    FiveStarLaw

    Attorney

    Satisfied Customers:

    1174
    25 years of experience helping people like you.
  • http://ww2.justanswer.com/uploads/scottymacesq/2009-6-10_221523_small.jpg RGMacEsq's Avatar

    RGMacEsq

    Attorney

    Satisfied Customers:

    504
    Licensed Texas General Practice Attorney
  • http://ww2.justanswer.com/uploads/ohioatty/2009-1-22_185545_me.jpg J.Hazelbaker's Avatar

    J.Hazelbaker

    Attorney

    Satisfied Customers:

    393
    Experienced and trained in the area of business law.
  • http://ww2.justanswer.com/uploads/BA/barristerinky/2012-6-10_22423_office.64x64.jpg Barrister's Avatar

    Barrister

    Attorney

    Satisfied Customers:

    373
    14 years practicing attorney, MBA
 
 
 

Related Business Law Questions

Chat Now With A Business Lawyer
Maverick
Maverick
242 Satisfied Customers
13+ years of experience