What to Do if Your Business Partner Does Something You Disagree with

Entering into a business partnership with someone is a serious undertaking. You should never join with anyone who you do not have complete confidence in. However, conflict can arise among even with the closest of friends. If your partner does something you disagree with or that you think puts the business in danger, it can be difficult to know what to do. This guide will go over some of your best options.

Resolve the Conflict

It may sound obvious, but the first thing you should do is try to reason with your partner. It is important for business partners to be able to communicate with each other openly and freely. While this should always be your first choice when it comes to resolving the conflict, it is also very important to protect yourself. If your partner is doing something illegal, you should take no part in it. You should also take steps to protect yourself financially. You have several options to accomplish this.


The simplest, easiest, and least extreme option you have is called arbitration. This should be one of the first things you do. Arbitration is sort of like a miniature court case. You are able to see an arbitrator who will listen to both you and your partner’s case before coming to an impartial and fair decision. Arbitration is great for non-financial disagreements, but it can be useful for more serious matters too. You can decide in advance whether the result of the arbitration will be legally binding.

File A Lawsuit

You can always file a lawsuit against your partner. If he or she has breached your contract, this may be the best option to get what you are owed. Remember that a lawsuit is a very long process that may take years to conclude. If it is your only option, you should speak with a business lawyer, such as a business lawyer in Rockville, MD, immediately so you can file a lawsuit with full confidence.

Buying Out

If your partner has done something that could potentially harm you or your business, the best option may simply be to distance yourself from your partner. If you have exhausted your other resources, then asking to be bought out of the partnership is an appealing option. You will be paid for your part of the business and you can leave and do whatever you desire to protect yourself. Your assets are all tied up with your partner’s, but you can always ask for what is yours and walk away.

Thanks to the Law Office of Daniel J. Wright for their insight into solving differences between business partners.