Corporate Oppression Litigation Lawyer in Dallas
When the majority shareholders in a corporation take actions that are in their own best interests, and intentionally suppress the minority shareholders’ votes in order to push a decision through, this is an example of corporate oppression. The laws in Texas regarding the rights of each shareholder in an LLC or other corporation can be complicated, and each situation is unique and requires an experienced professional to recognize exactly what happened, and what type of remedy is appropriate.
If you believe that you have been the victim of improper behavior as a result of actions taken (or inactions) by the majority shareholders, contact our team today for an initial consultation. During this consultation, we will be able to discuss the actions taken by shareholders that you believe violated your rights, managerial privileges, or financial interests in a way that violated the business agreements that you have entered. Our history of experience in dealing with corporate law and helping clients navigate successful litigation processes will be a great asset to you in your current experience. We will be happy to discuss past examples of situations where we helped clients in similar cases as your own, as well as offer advice on how to move forward in your current position to maximize your chances of a positive outcome.
Read more below to learn about some examples of corporate oppression, and contact us now to get started on your own case today.
What Is Corporate or Shareholder Oppression?
When there are multiple shareholders in a corporation, there will likely be an individual or group of shareholders who hold the majority of shares, and therefore a majority of control over decisions about the corporation. However, simply because this party has the ability to make decisions about the corporation DOES NOT mean that they can act in a way that is predatory or oppressive to the minority shareholder or group of minority shareholders.
Examples of Shareholder Oppression
Essentially, shareholder or corporate oppression takes place when a minority shareholder is deprived of their legal rights as a shareholder in a corporation. If you believe that you are the victim of corporate oppression, or if you are unsure of your rights, contact us now so that we can explore all of the different information that will help us gain a clear understanding of the situation.
Some common examples are as follows:
- Diverting earnings to the controlling or majority shareholders
- Refusal to declare or pay dividends to the minority shareholders
- Excluding minority shareholders from financial or managerial decisions
- Fraud carried out by the majority or controlling shareholders
- Engaging in self-interested transactions including sales or purchases of shares and assets
- Leveraging majority control to dilute or otherwise decrease the minority’s interests in the corporation
Contact Us Today
Wade McClure is here to help you build a comprehensive case for litigation to compensate for your being oppressed. The sooner you contact our legal team, the sooner we will be able to create a strong argument for your situation and seek a remedy that is fair and deserved.