imlaw
Oct 20, 2009, 06:19 PM
Here is the issue. I am in a partnership with 2 other people in owning a grocery store. Each partner is 33.33% in the general partnership. There is no written agreement for partnership. One of the partners is my uncle who supposedly run day to day ops. But, We do not get along too well. I have been legal partner for last 5 years.
Ever since store opened, my uncle ran day to day ops. He would come to store almost everyday 2-3 hours here & 2 hours there during the day although it was not necessary for him to be there during that time because other employees/managers could manage. I would go there on weekends & holidays as I have another job. He draws $700 cash per week & I draw $350 cash per week for working. We used to cut monthly salary checks but since March 09, he started drawing cash weekly basis. Third partner was not working here. But, 3 months ago, my uncle brought the third partners in as well saying that third partner is going to come in 2 days whenever he feels like and draw same amount as I do. I asked them to set a schedule & let go some employees to balance the things as store is not doing that well. They simply refused. My uncle & third partner are one voice. Basically, my uncle stood this 3rd partner up to pressure me to agree to sell my share to them. They even asked me to sell directly & indirectly but I did not. My feeling is that uncle continue to bring the business down to this extent & wants to buy this at cheap price.
Lately, my uncle started to use employees to frustrate me. He started doing petty things like calling employees ahead of their shift to not to go to work to make it difficult for me to run things when I am there. When I confronted one such employee, she said my uncle told her to do that. My uncle kept using this employee to piss me off to an extent that I had to terminate the employee for insubordination. My uncle ignored my note regarding her termination and called her back to work. I refused to let her work at the store. At this point, my uncle closed down the store & told customers to leave the store. He parked his car in front of store to block access & start telling customers that store is closed. That was on 10/6. The store stayed closed for 2-3 hours. Third partner was called in too. This guy told me that we need to sell the store at whatever price we get since we are not getting along. Due to economic conditions, I do not believe we will get much for the store & they know it too. They just want me out ( buy me out) by making things difficult. I refused to be pressured down like this, and told the third partner that we can discuss selling but my uncle can't continue to do whatever he wants. This employee must stay terminated & we can discuss other things ( selling or whatever). Third partner talked to my uncle & opened the store. The issue of employee was not settled. For next 7 days, my uncle did not show up at the store and this employee did not either. During this time, my uncle kept calling off employees from coming to work on the days I would come to the store to work. After 7 days he showed up, and took $700 cash although he did not even come to store during that time. He also brought the terminated employee back to work.
What options do I have keep my uncle from doing whatever he wants?
Is he in violation of his fiduciary duties of care towards partnership?
Is my option legal remedy is just to get whatever they give me & get out. Can I stall it to a point to get them to say we are "out' give us whatever you can?
Ever since store opened, my uncle ran day to day ops. He would come to store almost everyday 2-3 hours here & 2 hours there during the day although it was not necessary for him to be there during that time because other employees/managers could manage. I would go there on weekends & holidays as I have another job. He draws $700 cash per week & I draw $350 cash per week for working. We used to cut monthly salary checks but since March 09, he started drawing cash weekly basis. Third partner was not working here. But, 3 months ago, my uncle brought the third partners in as well saying that third partner is going to come in 2 days whenever he feels like and draw same amount as I do. I asked them to set a schedule & let go some employees to balance the things as store is not doing that well. They simply refused. My uncle & third partner are one voice. Basically, my uncle stood this 3rd partner up to pressure me to agree to sell my share to them. They even asked me to sell directly & indirectly but I did not. My feeling is that uncle continue to bring the business down to this extent & wants to buy this at cheap price.
Lately, my uncle started to use employees to frustrate me. He started doing petty things like calling employees ahead of their shift to not to go to work to make it difficult for me to run things when I am there. When I confronted one such employee, she said my uncle told her to do that. My uncle kept using this employee to piss me off to an extent that I had to terminate the employee for insubordination. My uncle ignored my note regarding her termination and called her back to work. I refused to let her work at the store. At this point, my uncle closed down the store & told customers to leave the store. He parked his car in front of store to block access & start telling customers that store is closed. That was on 10/6. The store stayed closed for 2-3 hours. Third partner was called in too. This guy told me that we need to sell the store at whatever price we get since we are not getting along. Due to economic conditions, I do not believe we will get much for the store & they know it too. They just want me out ( buy me out) by making things difficult. I refused to be pressured down like this, and told the third partner that we can discuss selling but my uncle can't continue to do whatever he wants. This employee must stay terminated & we can discuss other things ( selling or whatever). Third partner talked to my uncle & opened the store. The issue of employee was not settled. For next 7 days, my uncle did not show up at the store and this employee did not either. During this time, my uncle kept calling off employees from coming to work on the days I would come to the store to work. After 7 days he showed up, and took $700 cash although he did not even come to store during that time. He also brought the terminated employee back to work.
What options do I have keep my uncle from doing whatever he wants?
Is he in violation of his fiduciary duties of care towards partnership?
Is my option legal remedy is just to get whatever they give me & get out. Can I stall it to a point to get them to say we are "out' give us whatever you can?