Speedy resolution of a business dispute

Our client

Our client was a director and shareholder of a building company specialising in residential developments.

His ambition

Our client sought advice on settling a dispute between the business partners, including recovering sums taken from the business by his partner. He also wished to negotiate a buy-out of the business. Within hours of our preliminary meeting with the client, the scope of our instructions changed significantly when the business partner obtained an ex parte injunction freezing assets held by our client, caused documents to be lodged with ASIC removing our client as a director and shareholder of the business, and locked our client out of the business premises. In less than 24 hours, we had re-instated our client to the ASIC register, recovered funds taken from the business, negotiated access to the premises and arranged a mediation between the parties. Within 48 hours, we had negotiated the purchase of the business by our client and the orderly separation of the parties' business interests, without further recourse to the courts, resulting in a speedy and commercial outcome for all concerned.

Enhancing their success

We were not only able to provide the client with a commercial outcome to the dispute with the avoidance of protracted court proceedings, but were able to avoid the devastating consequences of the appointment of an external controller to the business.

Behind the headlines

As a commercial dispute that quickly escalated into court proceedings, this was a matter handled by our Commercial Litigation team. But as a dispute that quickly evolved into a commercial negotiation, we were able to utilise the resources and expertise of a broad range of persons within our firm, and provided our client with advice on various matters including the tax implications of trust distributions, the transfer of intellectual property rights and the novation and assignment of construction contracts.