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MShore Law
MShore Law, Attorney
Category: Business Law
Satisfied Customers: 25285
Experience:  Drafted Negotiated and/or Reviewed Thousands of Commercial Agreements
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i have started a small business for 5 years with a partner

Customer Question

i have started a small business for 5 years with a partner . She is now wanting to kick me out for arguments. We have a month to month lease that i did not sign while i was at my previous job that day.But from day one we agreed this was our business built it up from nothing.Paid half on everything.But she claims i have no leg to stand on and she can kick me out.this is a successful business that i partnered what can i do??Where do i start?
Submitted: 3 years ago.
Category: Business Law
Expert:  MShore Law replied 3 years ago.
Thank you for the post, is the business set up as a separate entity (LLC, Inc, LLP)? If so, are you listed on the registration documents?
Customer: replied 3 years ago.
we once applied that way then cancelled it due to what our tax guy said. we operate it like we work for ourselves now . pay taxes separate. would the name help you to look it up? its a hair salon
Expert:  MShore Law replied 3 years ago.
Hello, because it is a general partnership, you need some evidence of your ownership in the business. This can be from invoices, access to business accounts, payments you made on behalf of the business etc. If you have such evidence you could sue your partner should she try to exclude you from the business, and seek the value of half of the business as your entitled damages (essentially a forced buy out).
Customer: replied 3 years ago.
We cancelled our old business account.We keep track of our own money. But as far as legally splitting everything we do.Alot of clients know we are partners, our landlords son in law is willing to go to court on my behalf. Can we pull bank statements, text messages she has sent about lying from entire year to help me? what other forms of proof will help? will i have to leave whenever she says cause i didn't sign lease? and wait for lawsuit to go through?
Expert:  MShore Law replied 3 years ago.
Hello, because you are not listed on the lease and the business is not a separate entity if she demands that you leave, you will have to do so, and just wait for the suit to play out. As part of the suit, you can pull bank statements, but text messages are likely not available unless saved in your phone.
Customer: replied 3 years ago.
So our verbal agreement means noting? all she has more than me is the lease. Doesn't she have to atleast give me a 30 day notice?
Expert:  MShore Law replied 3 years ago.
Hello, unless you reside in the dwelling, the 30 day notice does not apply because it is not a residential tenancy. The problem with verbal agreements is that one party can claim the terms of the agreement are x and the other party can claim the terms are y, with no evidence in support of either to prove the terms of the agreement.
Expert:  MShore Law replied 3 years ago.
Hello, unless you reside in the dwelling, the 30 day notice does not apply because it is not a residential tenancy. The problem with verbal agreements is that one party can claim the terms of the agreement are x and the other party can claim the terms are y, with no evidence in support of either to prove the terms of the agreement.

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