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WCLawyer, Attorney
Category: South Africa Law
Satisfied Customers: 15603
Experience:  L.LB (UOVS)
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Hi . I have a partnership disagreement problem. Almost a

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Hi .
I have a partnership disagreement problem. Almost a year ago my senior and brotherin law partner in our supermarket and property business , on which we trade , ....and i had a dispute . Actually it was a death threat on me and i walked out.....more because he was drunk and tried to attack me . He set up a date to desolve our partnership and acted as if nothing happsned . He stated he would give me a certain amount and if i didnt take it ....then i wasn't going to get anything . I am a 50% partner in everything and have equally paid for my shares as he has for the last 14 years .
I was totally astounded because it was nowhere near what i put into the business .
Being a family business ....i was afraid how he was going to react to his wife (my sister ) as he blames evwryone else for any problems . I always complied in respect to him becauae he ran guilt trips on me and treated me like i was worthless . I held out so long inspite of this .
Like i said its been a year lawyer has sent hiz lawyer letters to forward our partnership agreement which he underhanded changed and pressured me to sign . I left totally a broken person in mind and soul . And i didnt retaliate because i went into depression . I am still seeing a physicologist and phychiatrist to help me . And only then did i see a lawyer .
I have reached the end of my tether ......because my lawyer has fallen ill for the last month . With my brotherinlaw and his lawyer stalling every response to our lstters for settling the dispute .
I need to know if i can approach my bank as to sell my share in ghd business and property as we have oustanding loans to repay .
Is this a possibility and iz it wise for md to do so ?

Thanks XXXXX
Good day and thank you for your question. I am sorry to hear about your troubles. My name is XXXXX XXXXX I will try and assist you.

In order to provide you with the most accurate answer, I may have to ask you a lot of questions. This may seem tedious and irrelevant, but trust me, there is a reason for every question. So please be patient throughout the process and if it takes a little long for me to come back to you, it is probably because I am researching your answer. I hope that is okay.

Are you asking me whether you can use your 50% stake in the partnership as collateral for a bank loan?
Customer: replied 4 years ago.

thanks i appreciate your honesty . During the last two years we have developed the property by building our new store and 13 other stores in into a shopping centre . And then we would demolish the exsisting store . So we had numerous loan agreements with our bank . We were 3 weekz into the trading of the new store when the altercation occurred . I have never been back .

I dont know if approaching the bank to help resolve the dispute is a an avenue i can pursue as an investor in my shares .......if that makes any sense to you . I dont know if it is in their best interest brest to get involved rather than me taking to a court case which will just drag on without me having any income . I am still a 50% partner and in one year i have not received a cent from my business i built too. I know it sounds cowardly of me up untill now . Bug being totallt troubled

During our

Apologies, but I am still not sure what you are asking me. Are you saying that you would want to approach the bank to team up with them against your brother in law?
Customer: replied 4 years ago.

i dont want them to team up with me against him . I need an amicable way to have all parties involved in the business to help to resolve the matter instead of me following through with a court case .

Probably sounds absurd ....i know .

I cant think straight anymore because he has minupulated his way to taking the whole business by breaking me in mind and spirit . i just cant fathom a way to end my strife in getting all my money i have invested in the business and property .

Is there anyway i can rattle their cage so to speak ......for them to take notice . I feel they are playing me by not complying with resolution of the partnership up untill now

What resolution are you referring to?
Customer: replied 4 years ago.

Sorry i meant their non compliance to " resolve" the unresolved issue of our partnership . "

I am extremely sorry of I sound stupid but do you mean the bank's non-compliance with their obligation to resolve the issue surrounding your partnership?
Customer: replied 4 years ago.

no partners

Okay. What has your attorney been doing up to now?
Customer: replied 4 years ago.

been able He has spoken telephonically to my brotherinlaws lawyer and spoken to him to inform his client that i want to resolve the disolvement of the partnership in a amicable respectful way .

He has sent two letters to inform them of this and to have a copy of the partnership agreement that changed to be sent to us .


They firstly denied getting any such letters after waiting over a month for their response .

Eventually when he adressed the situation over a telephone call to there attourney ........the attourney said he had to meet with his client .

It took a few weeks for them to say that they dont have a partnership agreement . ......which is odd givinn the fact i signed thepartnership agreement even though i was upset of how my brotherinlaw had changed the partnership agreement and to include my brother but instead of distributing the percentage of share equally it was done as : 51% brotherinlaw.......24.5% -Me and 24,5% MY brother .


For them denying the partnership agreement even existed ......lends me to believe my brotherinlaw might be upto no good again .


My lawyer has contacted them twice since tgdn ....only to be told that they are waiting to hear fro. his client . .So my attourney has been admitted into hospital almost a month ago with meningitis and has not had his office to respond to my

So are they denying that a partnership exist, or just that there is no written partnership agreement?
Customer: replied 4 years ago.

thats the other thing .. they say they dont have one ......and he is waiting for his client to tell him what to do .







But are they denying that there is a partnership?
Customer: replied 4 years ago.

i'm not sure . My lawyer informed me that his attorney said that his client doesnt have a partnership agreement which is ridiculous , as his practise was the ones who drew up the partnership for us at the time which was a requirement from the bank to secure the huge loan .


so thats why i cant understand their angle and deceit .

Michael, I know your question is whether there is a way of sorting this issue out amicably and without going to court. The reality, however, is that it is going to take all partners participating in good faith to resolve the issue and at this stage, it does not seem as if your brother in law is going to act in good faith any time soon.

Consider that, as long as this thing is dragged on, he is given more time to wrest away partnership assets and suchlike and keep you away from business prospects and prevent you from sharing in the profit.

My point is that there is no incentive for your brother in law to come to a negotiation table at the moment. He holds, it would seem, most of the cards and can drag this thing on for as long as he like.

I also don't think that the bank is going to get involved. I am not sure what you wanted the bank to do in order to resolve the issue, whether you wanted bank statements from them etc, but I don't think you can put much stock in their co-operation, outside of a legal process.

The message that I am trying to convey is that, as long as your attorney and his attorney fire off letters at each other (in my opinion) the more damage you are going to suffer. Starting with a legal process for the dissolution of the partnership and the liquidation thereof would be the only way that you can get a hold back onto this whole thing. It has always been my experience that, as long as there is a court date looming, the parties to such litigation is much more inclined to settle any matters between them before a full trail ensues. So, if you are asking me what is going to rattle their cages, my answer to you is a summons and keeping them to the time limits of court in order to get a court date as soon as humanly possible.

If your current attorney is not up for it, medically speaking, find another attorney or see one of his partners or associates to assist you. But, unfortunately, you cannot force someone to negotiate in good faith.

I know that this is probably not the answer that you have hoped for, however, I hope that you can still get some value out of it. I try my best to provide you with a legally sound and accurate answer and however much it pains me, it is not always good news. Trust me when I say that I wish I could provide you with a more optimistic answer. If you have follow up questions before you rate, feel free to ask them at no extra cost. If you are satisfied with the service, kindly rate it positively
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