Services » Mediation Services » Shareholder and Partnership Disputes

Disagreement between shareholders or partners can quickly affect decision-making, staff, customers and the value of the business. Mediation creates a private, structured setting in which the people involved can address the commercial and personal dimensions of the dispute.

When mediation may help

• Shareholder or board deadlock
• Disputes about roles, control, remuneration or dividends
• Partnership breakdown or proposed exits
• Questions about valuation, funding or the transfer of an interest
• Succession and future management arrangements

A commercially focused process

Before the mediation, the issues and required information are identified so that the meeting can be used productively. During the mediation, the neutral mediator helps the parties clarify priorities, test assumptions and explore workable options. Private meetings can be used where appropriate.

Possible terms

Depending on the circumstances, discussions may cover revised governance, a managed exit, share-purchase arrangements, future responsibilities, decision-making rules or a timetable for implementation. Legal, tax and valuation advice may be needed before terms are finalised.

Preparing for mediation

Useful preparation may include the shareholders' or partnership agreement, recent financial information, relevant correspondence and a short statement of the issues. Each party should obtain independent advice on its position and on any proposed settlement.