My 2 brothers and I formed a corporation in Nevada with each of us as equal partners with 33 1/3 shares each. One brother is very verbal abusive to me and the other day I just left because of this. They took me off everything dealing with the business and wrote our website company that I was playing games. They said I quit because i left and therefore not a partner anymore. What Can I do to protect myself and my interest.
Your Nevada corporation was probably invalidly formed. Most are. You are not distinguishing between the different rights and duties of shareholders, directors, officers and employees. Depending on the amount at stake (e.g. what you invested and what the company is worth) you may end up needing a business litigator. Many more facts would be needed to answer your "protection" aspect of your question, as in "protect what?"
The above is general legal and business analysis. It is not "legal advice" but analysis, and different lawyers may analyse this matter differently, especially if there are additional facts not reflected in the question. I am not your attorney until retained by a written retainer agreement signed by both of us. I am only licensed in California. See also avvo.com terms and conditions item 9, incorporated as if it was reprinted here.
Once you enter into legal relationships things do not work the same way as they do in your own family and one brother cannot just take the ball and go home so-to-speak.
I think it might wise to consult some lawyers in private and explain the situation and see what they suggest as a best course of action. Obviously, it is in your interest to come to some resolution without the need to go to court, but there is really not much anyone here can offer that will help without knowing more.
Most of us here, including myself, offer a free phone consult.
The law firm of Natoli-Lapin, LLC (Home of Lantern Legal Services) offers our flat-rate legal services in the areas of business law and intellectual property to entrepreneurs, small-to-medium size businesses, independent inventors and artists across the nation and abroad. 866-871-8655 Support@LanternLegal.com DISCLAIMER: this is not intended to be specific legal advice and should not be relied upon as such. No attorney-client relationship is formed on the basis of this posting.
When a corporation is formed, you are issued shares of stock in the corporation. Were you issued your stock certificates? You have not indicated this fact. Your certificates are proof that you own the shares in the company, and you have rights if the shares were issued for consideration. You need to consult with a attorney regarding this matter.
Hope this helps!
Phillip M. Smith Jr.
Los Angeles Tax & Business Attorney
Licensed in the United States Tax Court
Main: 323-292-4116 ❘ Cell: 562-505-1004
THESE COMMENTS ARE NOT LEGAL ADVICE. They are provided for informational purposes only. Actual legal advice can only be provided after consultation by an attorney licensed in your jurisdiction. The answer to question does not create an attorney-client relationship or otherwise require further consultation. Mr. Smith is licensed to practice law throughout the state of California with offices in Los Angeles County. He is authorized to handle IRS matters throughout the United States, and is also licensed to practice before the United States Tax Court. His phone number is 323-292-4116 or his email address is email@example.com.
The short answer is that it depends what you mean by "kick you off." They can certainly "join up" together and treat you as a minority shareholder, which means that they may be able to remove you from the board of directors and as an officer, and remove your name from the bank accounts. They cannot deprive you of your ownership interest, however. Writing to your website company may create certain liabilities for them, and your brother have a duty to you to treat you fairly in terms of your ownership interest.
If this gets any nastier, you will need a lawyer to step in. Beware, however, as the cost of inter-shareholder fights can be extremely expensive and can destroy the corporation, as well as destroy any chance at repairing the family relationship.