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 N Cal Atty Your Own Question
N Cal Atty
N Cal Atty, Lawyer
Category: Legal
Satisfied Customers: 9368
Experience:  attorney at self
Type Your Legal Question Here...
N Cal Atty is online now
A new question is answered every 9 seconds

I started a company with a friend of mine. Quick note, this

This answer was rated:

I started a company with a friend of mine. Quick note, this person is unstable but I saw potential in them. He admitted to me a few months ago that he shop lifts, among other things. Back to the point, I contributed $9,000 to our startup, established a 50/50 LLC partnership with this individual and we set up a joint business checking account. Before we even got a chance to get started with operations I caught him trying to buy expensive clothes on the company card. I was upset and I put our business on hold for a few months while I was busy with other things. Yesterday I checked our business account and found that he withdrew exactly half of the money from the business account. Keep in mind all of the
money was contributed by me. Although he was my partner, 50/50 , does he have a right to
take that money? I would assume no because its company money that was intended to
advance the interests of the company. He never contacted me before he did this and we haven't spoken in a few months. At the very least what he did was sleazy, but is it embezzlement. This occurred in Texas and we are a Texas LLC.
I am sorry to hear this.

Have you asked him to account for the money he took out of the LLC account?

Have you filed a police report?
Customer: replied 4 years ago.
I have not filed a police report. I actually just spoke with him and he (in a hostile manner) made it quite clear that he is using the money for personal use and not to further our business.
You can file a police report and/or the LLC can sue to recover the misappropriated funds plus interest.

You can get a free consultation from some of the Texas attorneys listed by location here.

Please follow up on this with a local attorney.

I hope this information is helpful.
N Cal Atty and 3 other Legal Specialists are ready to help you
Thank you for accepting my answer, and thank you very much for the bonus!