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As 50 percent partners, both partners have a right to run the business, both have a right to access to bank accounts, and neither can block or obstruct the other person's activities. The partners can agree to delineate duties and should follow through with their agreement. No one can block a partner's access to emails of the business. The partners are equal. We can discuss further if you want to do so.
First, either party could open a bank account for the LLC when it is 50-50. So, either party could close it unless both parties signatures were on it, then a bank may require both signatures to close it. However, a bank may permit a restraint on the bank account if there is alleged fraud involved. The word illegal deals with criminal issues. So it is not the right term to use. This is a civil matter. It could be a violation of a statute pertaining to LLC, or a violation of an agreement. Generally, it is common law knowledge that neither party can obstruct the other party's access to a company's books and records.
It is a difficult situation. This happens frequently with owners who are 50-50. if someone is withdrawing money from a company bank account, possibly a bank can put a hold on the account, or require joint signatures. Otherwise, judicial intervention is necessary to get a court order to restrain the account. Unfortunately, the ultimate solution is get the court to judicially dissolve the company.
No. That is the problem with 50-50. The only judgment is to dissolve the company. We can continue to discuss if you would like to do so.
There is a larger issue here: usurping a company's business or conflict of interest. If the phone number is ***** used for a competitor's site, it could lead to evidence for causes of action against the member of the LLC. In other words, the member/partner is breaching a fiduciary duty and possibly could be sued for that reason.
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Okay. With regard to taking adverse action against a partner, notice to cease an activity is something that is a good idea before taking an action. I am afraid that the bot***** *****ne as I mentioned is that when two partners can no longer run the business, either one partner buys the other out, or the company has to be dissolved.
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