Fraud & Deceitful partner

[k sundaram]

In partnership, 2 of our partners have been doing Fraud & Deceitful activities. They claims that if I dissolve the partnership because of their above behaviour, they say that I am liable for all the business closing cost. Is that correct?

 

[Blaby Loyal]

Do you have enough voting power to actually dissolve the partnership?

Fraud is usually very difficult to prove so be careful how you use the term unless you have evidence which is irrefutable.

 

[k sundaram]

He and his girlfriend are together saying that they are majority. I am alone. I have evidence that they forged my signature and sent a letter to authorities without my knowledge or consent. Do I need anything more? also, this is 12th month but still he does not allow me on-line access to the business bank account!

 

[The Byre]

What is the form of the company, Ltd., LLP, common law partnership or what?

 

[Mr D]

He and his girlfriend are together saying that they are majority. I am alone. I have evidence that they forged my signature and sent a letter to authorities without my knowledge or consent. Do I need anything more? also, this is 12th month but still he does not allow me on-line access to the business bank account!

You could notify the people concerned that you have never agreed to anything and that they hold forged signature.

 

[k sundaram]

we are GP surgery partnership and we do not have any signed agreement. I rent my building to the partnership and refused to sell to the other partners. Now, their solicitor has written saying that the building is partnership property ! When the deeds are on my name, can they say that?

 

[Chris Ashdown]

Why on earth are you telling us this when you should be sitting in front of a solicitors desk right now and getting expert advice from someone who knows all the relevant facts

 

[Blaby Loyal]

we are GP surgery partnership and we do not have any signed agreement. I rent my building to the partnership and refused to sell to the other partners. Now, their solicitor has written saying that the building is partnership property ! When the deeds are on my name, can they say that?

They can say whatever they want: proving it is an entirely different matter.

How does or did the partnership occupy the premises e.g. under a lease or licence and did it pay you any money by way of rent or licence fee?

 

[k sundaram]

I was running my business from my property. Merged my business with another neighbouring business who were running their business from a lease hold. The new merged business is run from both sites now and rents are paid to both premises. Their leasehold is coming to an end in 2019. I believe they are desperate to have their own premises !!

 

[ethical PR]

I was running my business from my property. Merged my business with another neighbouring business who were running their business from a lease hold. The new merged business is run from both sites now and rents are paid to both premises. Their leasehold is coming to an end in 2019. I believe they are desperate to have their own premises !!

I agree why are you posting on a forum rather than getting advice from your own solicitor???

 

[Blaby Loyal]

I was running my business from my property. Merged my business with another neighbouring business who were running their business from a lease hold. The new merged business is run from both sites now and rents are paid to both premises. Their leasehold is coming to an end in 2019. I believe they are desperate to have their own premises !!

Which lease is coming to an end in 2019? You refer to there being two leases. Is it the lease to the premises you own or the other premises?

You will need to read the terms of the lease to the property you own but is occupied by the current partnership and see if there is provision in that lease dealing with cessation of the partnership. I suspect there won't be though.

If you resign from the partnership it doesn't necessarily mean that the partnership's lease will end contemporaneously.

 

[The Resolver]

To answer the original question, if its a standard common law partnership, ie no corporate structure, then it dissolves once you serve notice to that effect. Thereafter all costs are borne by the partnership. The practice would cease immediately unless you can all agree that the others buy out your share. All income is gathered, assets sold, creditors paid and any balance shared out as per partnership shares.

 

[k sundaram]

We are on Partnership at will and have no signed agreement.
One premises is owned by a retired partner and the lease with him is coming to an end in Oct 2019. The other premises, owned by me is used for the business since merging the 2 businesses and I get monthly rent. I have no signed lease or rental agreement.
Also, it is 12 months now and my 'managing partner' is refusing me online access to bank account. How do I get access? I suspect some financial misappropriation because of the way he is blocking my access.

 

[The Resolver]

Then you are ruled by the Partnership Act 1890 and can dissolve as in my previous post. Before you do it may be better to try and reach an agreement over the dissolution including who wishes to continue the business and thus buy out the other(s).

The bank account is an issue. In what name is the account? If its set up as a partnership account then the bank cannot refuse your requests for the statement although online access is a different issue. However once you serve notice of dissolution and serve on the Bank then they have to freeze the account, Hence why I say wiser to try and negotiate over a few days . They probably are labouring under misunderstandings of the risks. Once the partnership i dissolved with no agreement for one to buy out the other(s) and continue, then the letting come to an end since the tenant (the partnership) no longer exists. This assumes a partnership bank account pays the rent, and the accounts have been drawn up as partnership accounts.

If you want to give me more detail of the fraud and its impact then call me a best for such to be private. Always assume they are reading this.