Arbitration and Mediation

Subscribe to Arbitration and Mediation via RSS

Shareholder and operating agreements typically contain provisions restricting the right to transfer stock or membership interests. A recent decision by Justice Ira Warshawsky in Verderber v. Commander Enterprises Centereach, LLC, in which he refused to grant a preliminary injunction enforcing a transfer restriction, prompts this week’s New York Business Divorce to examine the ancient rule against unreasonable restraints on alienation.
…
Continue Reading Beware Unreasonable Restraints on Alienation When Drafting Shareholder and Operating Agreements

There is nothing “unique” or “even unusual” about deadlock dissolution cases that place them outside the scope of a broad arbitration clause in a shareholders’ agreement, rules Justice Ira Warshawsky in a recent decision featured in this week’s New York Business Divorce.
…
Continue Reading No Exception to Arbitration for Deadlock Dissolution Petition, Court Rules

Mediation has become an important and increasingly popular alternative path to dispute resolution. This week’s New York Business Divorce features an interview with former law professor turned mediator Leona Beane on the subject of the mediation of business divorce cases.
…
Continue Reading Mediation and Business Divorce: Interview with Mediator Leona Beane

DUE TO TECHNICAL GLITCH, THIS ENTRY WAS PUBLISHED THIS MORNING INCOMPLETE. THIS WILL LINK TO THE COMPLETE ENTRY. MY APOLOGY FOR THE DUPLICATE EMAIL NOTIFICATION. P.A.M.
The statute governing buyouts in oppressed shareholder dissolution cases dictates that the fair value of the shares is to be determined as of the day before the date on which the dissolution petition was filed. This week’s New York Business Divorce looks at a quirky case involving a fight over which of two proposed valuation dates was the proper one, with $1,000,000 in assets hanging in the balance.
…
Continue Reading Court Rejects Attempt to Vary Statutory Valuation Date in Oppressed Shareholder Buyout

If you think you’ve seen it all when it comes to corporate dissolution contests, think again as you read this week’s New York Business Divorce which looks at a case in which one LLC member opposed the other’s dissolution petition based on the latter’s alleged mental disability.
…
Continue Reading Poorly Drafted Disability Clause in Operating Agreement Provides Novel Defense to LLC Dissolution Proceeding

Individuals and companies have a choice of entities – some requiring more formalities than others – through which to pool their resources and efforts in pursuit of a common business goal. Joint ventures and general partnerships are on the less formal side of the spectrum and are often used in the early stages of a…