Not all New York business partners see eye-to-eye. Differences of opinion arise and conflicts can happen, making for an uncomfortable working situation. If you are involved in a partnership dispute, it can be resolved. These are some of your options.
Partnership agreement
A partnership agreement is one of the best ways to settle contract disputes. However, you need one ahead of time, before the conflict even arises. It’s wise for business partners to adopt this legal agreement as it states what road you can take if a problem eventually rears its head. Getting everything in writing could potentially prevent things from getting worse.
Negotiation
Sometimes, a partnership dispute develops because you and your business partner don’t effectively communicate or fail to communicate at all. Negotiation might be the key to fixing the problem. If you sit down with your partner and discuss the situation rationally and realistically, you might be able to compromise and reach an agreement.
Mediation
If meeting with your business partner to negotiate doesn’t go well, you have the option of mediation. You meet with a mediator to find a middle ground that works for both of you. The mediator is there to help facilitate your communication but doesn’t take sides. If you’re able to reach an agreement, it will be made official.
Buy-out
If mediation fails and you and your partner conclude that you can no longer work together, you might consider a buy-out so that someone else can take over the business. This could be someone else working within or a new party willing to buy the company.
Litigation
If all other options prove fruitless, litigation might settle your partnership dispute. A judge can determine what should happen with the business and whether one party should be forced out.
Many partnership disputes are easily resolved. Depending on the situation, one of these options might be more appropriate than the others.