Can a partnership dispute be premature and untimely simultaneously? That was the unfortunate outcome for a hapless general partner in this week’s New York Business Divorce.
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accounting
Strength in Numbers: The Resurgence of the Accounting Claim in Business Divorce Litigation


The equitable accounting claim in business disputes has experienced a resurgence. This week’s post explores the recent developments reinforcing the potency of this once-fading legal remedy.
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Recent Decisions Enforce LLC Member’s Right of First Refusal, Restrict Partnership Accounting, and Allow Damages Claim for Breach of Oral Shareholders Agreement

This week’s New York Business Divorce offers a trifecta of sorts, offering summaries of three recent decisions, one involving an LLC, another a partnership, and another a close corporation.
Continue Reading Recent Decisions Enforce LLC Member’s Right of First Refusal, Restrict Partnership Accounting, and Allow Damages Claim for Breach of Oral Shareholders Agreement
Misappropriated Watering Hole Becomes Money Judgment Sinkhole

In this week’s New York Business Divorce, read about an unusually brazen case of misappropriation of corporate opportunity culminating in a hefty judgment against the perpetrators, including punitive damages and an accounting surcharge.
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But What of the Equitable Accounting?

In what he described as “the aftermath of what had been an amicable business divorce,” New York County Commercial Division Justice Joel Cohen discusses several interesting and novel limitations on New York’s cause of action for an equitable accounting.
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Two Entities, Two Outcomes: Withdrawal and the Right to an Accounting

This week’s New York Business Divorce compares two cases of closely-held business owner withdrawal, one involving an LLC, the other a general partnership, one resulting in a right to an accounting, the other not. Why the difference? Read on to find out.
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Bending the Rules of Standing: The De Facto Merger Doctrine

Typically used to seek a money judgment against a successor entity, in this week’s New York Business Divorce, read about a novel appellate decision relying upon the “de facto merger” doctrine to authorize a post-judgment equitable accounting against a successor entity in which the plaintiff admittedly lacked an ownership interest or fiduciary relationship.
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Lawyer Says, “I’m Not a Partner, No Wait, I am a Partner!” Which is It?

Law firms see more than their fair share of business divorce litigation. But what are the chances of lightning striking twice? In this week’s New York Business Divorce, read about a fascinating, post-trial decision in which an upstate law firm endured a bitter partnership breakup for the second time in a decade, with the same partner taking the opposite position in each lawsuit.
Continue Reading Lawyer Says, “I’m Not a Partner, No Wait, I am a Partner!” Which is It?
Accounting Unchained: Is the Closely Held Business Owner’s Right to an Accounting Absolute?

In this week’s New York Business Divorce, we focus on the oft-overlooked accounting cause of action, recently reinvigorated by an appellate decision referring to the claim as an “absolute right.” What does that mean for business divorce litigants? Read on.
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How Good is Your Operating Agreement’s Anti-Assignment Clause?

A decision last month by Justice Robert Bruno foiled a convicted felon’s attempt to assign to his wife his 50% membership interest in two realty holding LLCs. Find out more in this week’s New York Business Divorce. …
Continue Reading How Good is Your Operating Agreement’s Anti-Assignment Clause?