Levent Mah. Şakayıklı Sok. No:6 Beşiktaş/İstanbul

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PRACTICE AREASMinority-Majority Shareholder Disputes in Companies

Minority-Majority Shareholder Disputes in Companies

Joint stock companies and limited liability companies are beneficial to many such as shareholders, employees, creditors, other business entities, customers/consumers, governments. So, these entities must be protected from all kinds of risks and dangers as much as possible. Disputes inside the company also threat the wellbeing of it. One of the main disputes arising in joint stock companies is “minority-majority dispute”. This conflict arises mainly because of discriminatory actions of majority.

Lawyers who represent majority or minority shareholders in a dispute must observe the persons involved with it very carefully and form a good strategy to achieve determined goal. They must go over all the actions the party, they represent may take one by one and decide on timing of the actions. The reaction of the other party also must be calculated. All the actions must be aligned with each other regarding timing and consistency. The goal is to force the other party to compromise and find a solution which will make both parties happy.

In any case, we strongly advice all shareholders (some of them shall take minority position in the company) to have a shareholder’s agreement which provides minority with more power. This will prevent many of the possible future disputes before even they arise.

Our lawyers have taken part in many majority-minority conflict cases and helped our clients to achieve their goal with an established strategy right from the beginning. Related doctrine and previous court cases are very well known by our AES team.