Case studies: Partnership Disputes
Trouble at the top
The relationship between the chief executive and the chairman of a company
had broken down to such an extent that the company was no longer able
to function. Even the most basic of decisions about the day to day running
of the company became impossible. An external regulator threatened closure
of the company if a solution was not found rapidly.
mediate first held a mediation meeting involving the Chief
Executive, Chairman and the full board. Issues were discussed and clarified.
The successful outcome included an agreement about roles and responsibilities,
planned support from other directors and an agreed action plan for the next
six months of the business. The business was able to continue and grow with
its structure and reputation intact.
Break up between partners
This dispute involved a complex partnership between two companies. One
company purchased materials from abroad whilst the second assembled the
products and sold them back to the first ready for the retail trade.
The partners had a dispute over the non-payment of invoices that resulted
in the termination of the partnership.
The case had been heard at court and the decision on both liability
and quantum had been appealed. Mediation was arranged at the request
of the judge prior to the appeal hearing.
mediate first held a mediation meeting one week before
the appeal court hearing date. It involved both companies’ Chief Executives,
Finance Directors and legal representatives.
Although the partnership had already been dissolved, a solution was
reached on both quantum and liability which was satisfactory for all
and enabled all parties to look positively to the future.
|
