Corporate Deadlock

Contact Neufeld Legal PC at 403-400-4092 / 905-616-8864 or Chris@NeufeldLegal.com

Resolving disputes arising from a deadlock amongst shareholders or with the corporation, its officers and/or directors.

There are far too many scenarios in the corporate world where shareholders, directors and/or officers of a company find themselves at a veritable impass, lacking the means to break a deadlock. This can be a very challenging situation, as typically neither side wishes to concede to the other and it becomes necessary to attain a negotiated resolution or alternatively battle it out in a dispute resolution structure (be it mediation, arbitration or court litigation).

Nevertheless, in almost all these scenarios, it will be necessary for each of the parties to make concessions in order to resolve the matter (or the arbitrator / judge shall impose his/her ruling, with concessions that he/she deems appropriate in the circumstances). Believing that a corporate deadlock is simply resolved through the imposition of one's power or arguing technicalities in the unanimous shareholders agreement or corporate law is all too often an avenue towards an even more contentious and acrimonious situation, where one's potential leverage and/or strategic advantatge will be lost, such that taking a planned approach can be far more advantageous and deal with (or lessen) the challenges that will be faced in attempting to resolve a corporate deadlock situation.

At Neufeld Legal P.C., we undertake significant and complex shareholder disputes, amongst shareholders or with the company, its directors and/or officers, creditors or other third parties. Contact us at 403-400-4092 [Alberta], 905-616-8864 [Ontario] or Chris@NeufeldLegal.com.

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