North Palm Beach Partnership Dispute Attorney

The Andrew M. Schwartz Legal Team represents business owners, LLC members, shareholders, and co-investors in North Palm Beach whose working relationships with their partners have broken down, and we serve clients throughout Palm Beach County, Broward County, and the rest of South Florida. If you are searching for a North Palm Beach partnership dispute attorney, you are probably dealing with one of a few situations: a co-owner who has stopped cooperating, money that cannot be accounted for, or a company so evenly split that no one can make a decision.

Partnership disputes tend to follow a pattern. Early on, the problem looks like a disagreement about direction or pay. Months later, it has become a standoff over bank access, customer relationships, or who controls the books. The legal tools available, and the order in which you use them, depend heavily on whether your business is an LLC, a corporation, or a general partnership, and on what your written agreement says about exits, deadlocks, and valuation.

Some of these disputes can be settled without a courtroom, and many should be. Others need a court order quickly, before assets move or a partner locks you out. Knowing which kind of dispute you have is the first real decision, and it is the one worth making with a lawyer before you send an angry email or stop paying a bill.

Why Choose the Andrew M. Schwartz Legal Team for Partnership Disputes

The Andrew M. Andrew M. Schwartz, the firm’s founder, was admitted to The Florida Bar in 1989 and has spent 37 years in litigation, with a career built around complex contract disputes, business divorces, and conflicts between partners, LLC members, and shareholders. He earned his undergraduate degree from Emory University in 1986 and his law degree from the University of Miami in 1989. We serve clients in North Palm Beach and across Palm Beach County and Broward County, including clients from New York, New Jersey, and Connecticut who hold business or real estate interests here.

Sundeep Nath, Senior Counsel, is a Northwestern-trained litigator with years of experience in business and real estate cases in state and federal courts. That matters in partnership work, because a dispute that starts as a state court case over an operating agreement can pick up federal dimensions when the parties live in different states.

The firm practices as a true legal team, so everyone working on your matter knows the file. We keep a strict 24 hour return call policy, and we are experienced in mediation and arbitration as well as courtroom litigation. Andrew’s view, shaped over decades, is that most clients do not actually want the most aggressive lawyer available; they want one who acts as the situation requires and uses finesse when finesse will do, at a cost that makes sense against what is at stake.

Our recent record includes a five-day bench trial in Broward County Circuit Court that ended in a 32-page final judgment awarding our client specific performance of a commercial real estate contract. That result reflects the kind of work partnership cases demand: close reading of the governing documents, careful reconstruction of the parties’ dealings, and trial readiness when negotiation fails.

Types of Partnership and Co-Owner Disputes We Handle

• Deadlocked Management: Two 50/50 owners, or a board split evenly, cannot approve a budget, a sale, or a new hire. Florida’s LLC statute recognizes deadlock as a ground for judicial dissolution when the owners cannot break it and irreparable injury to the company is threatened or occurring, though a deadlock sale clause in your agreement may control first.
• Buyouts and Valuation Fights: One owner wants out, or wants the other out, and the sides disagree on what the company is worth. In corporate dissolution cases, Florida lets the corporation or other shareholders elect to buy the petitioner’s shares at fair value, which turns the case into a valuation contest.
• Breach of Fiduciary Duty: A manager or controlling owner uses company resources for personal benefit, usurps a business opportunity, or freezes out a minority member. These claims often sit alongside breach of the operating or shareholder agreement.
• Missing or Diverted Funds: Unpaid distributions, commingled accounts, disputed capital contributions, and partners who cannot explain where company money went. We pursue accountings and recovery of funds, and seek emergency relief when assets are at risk of being spent or moved.
• Minority Owner Squeeze-Outs: A majority owner cuts off salary, information, or decision-making power to pressure a minority holder into selling cheaply.
• Family and Friend-Founded Businesses: Siblings who inherited a company together, parents and children who disagree about its future, and spouses or in-laws with shared ownership. These cases need discretion alongside firm protection of your financial position.
• Judicial Dissolution and Wind-Downs: When a company cannot continue, a court can dissolve it and, where warranted, appoint a receiver or custodian after a hearing with notice to the parties.
• Shared Real Estate Between Partners: Co-owned property often outlives the business relationship, which can lead to partition or quiet title litigation.

What to Do Right Now if Your Partnership Is Falling Apart

Start by getting your documents in one place. That means the operating agreement, shareholder agreement, or partnership agreement, along with any amendments, plus formation papers, tax returns, bank and credit card statements, capital contribution records, and the emails and texts that show how decisions were actually made. Do this before tensions harden, while you still have normal access to company systems. Do not delete anything, and do not take company property you are not entitled to; both mistakes tend to resurface in litigation.

Next, read what your agreement says about exits and deadlocks. Many agreements contain buyout formulas, notice requirements, mediation or arbitration clauses, or a deadlock sale mechanism. Under the LLC statute, a deadlock sale provision that is triggered before a court finds deadlock grounds can take priority over a dissolution order, so timing and procedure can decide which path you are on. Following the agreement’s steps carefully, in writing, often matters more than any single argument you later make.

Watch the clock. For a claim founded on a written agreement, Florida allows five years to sue. Claims based on oral or implied agreements get four years. Fraud claims run four years from discovery, subject to an outer limit of 12 years. A request for specific performance carries a one-year period, which is short enough to catch people off guard. Professional malpractice claims, including against accountants or lawyers who advised the company, have a two-year period running from when the claim was or should have been discovered. If more than one of these could apply to your situation, assume the shorter one governs until a lawyer tells you otherwise.

If money or assets are moving, speak with counsel immediately rather than waiting to see what happens. A Florida circuit court can issue injunctions and take steps to preserve company assets, and in dissolution proceedings it can appoint a receiver or custodian after notice and a hearing. These remedies work best when requested early and supported by documents.

Understand where your case would be heard. Partnership and dissolution cases above the county court threshold are filed in circuit court. For North Palm Beach, that is the Fifteenth Judicial Circuit, which sits in and for Palm Beach County, with courthouses in West Palm Beach and a North County courthouse in Palm Beach Gardens. If your partner or company is in Broward County, the Seventeenth Judicial Circuit applies, and it operates a complex business division that handles dissolution of certain business entities and large business litigation. Disputes between owners in different states, or those raising federal claims, may belong in the U.S. District Court for the Southern District of Florida, which holds court in West Palm Beach and Fort Lauderdale.

Finally, avoid the common mistakes: locking a partner out of the premises or accounts without legal footing, making unilateral withdrawals “to even things out,” discussing strategy over company email the other side can read, and signing a buyout or release before the company has been valued properly.

How Florida Courts Resolve Owner Disputes: Dissolution, Buyouts, and Receivers

Florida gives courts several ways to end or restructure a broken ownership relationship, and the right one depends on the entity type.

For LLCs, a member or manager can ask the circuit court to dissolve the company on specific statutory grounds: the company’s affairs are being conducted unlawfully; it is not reasonably practicable to carry on activities in line with the articles and operating agreement; those in control have acted, are acting, or are expected to act illegally or fraudulently; assets are being misappropriated or wasted to the company’s injury; or managers or members are deadlocked and irreparable injury is threatened or occurring. On a showing of sufficient merit, the court may appoint a receiver or custodian, or order the purchase of the petitioning member’s interest, as an alternative to dissolving the business outright.

For corporations, a shareholder can petition for dissolution on listed grounds, including that the corporation has abandoned its business and has failed within a reasonable time to liquidate and dissolve. Once such a proceeding begins, the corporation must notify the other shareholders within 30 days that they may avoid dissolution by electing to buy out the petitioner. If the parties agree on fair value and terms within 60 days after the first election is filed, the court enters an order directing the purchase on those terms. An election to purchase is irrevocable unless the court finds it equitable to modify or set it aside, so a buyout election is a decision to make with the numbers in hand. Importantly, filing for dissolution does not cut off a shareholder’s right to use a compliant deadlock sale provision in the shareholder agreement.

During either type of case, courts can issue injunctions, preserve assets, and keep the business running until a full hearing. For an owner whose company is the main source of income, that interim protection is often more important than the final judgment.

When the Partnership Owns Real Estate Together

Many partnership disputes leave behind a shared piece of property that neither side can use or sell alone. Florida law lets a co-owner ask the court for partition, and all partition actions are heard in chancery. The complaint has to describe the land, name the owners and where they live, and state what each holds. If the court orders partition, it appoints three commissioners, chosen by the court unless the parties agree. When division cannot be done without prejudice to the owners, the court may order a public sale to the highest bidder and divide the proceeds by ownership share. Where the court allows a sale on credit for good cause, at least one-third of the price must be paid down unless everyone consents otherwise.

Heirs property gets special treatment. When cotenants acquired title from a relative and certain conditions apply, such as relatives holding 20 percent or more of the interests, the court must follow the Uniform Partition of Heirs Property Act, which adds protections before a forced sale. Family businesses that hold real estate across generations can land in this framework without anyone planning for it.

Where ownership itself is contested, a quiet title action asks the court to determine who holds title and remove competing claims. A plaintiff generally has to trace title back at least seven years unless the court orders otherwise, and the suit can be filed in any county where part of the land sits.

Partnership Dispute FAQs for North Palm Beach Business Owners

What counts as a partnership dispute?

It is any conflict among co-owners of a business, whether they hold interests as general partners, LLC members, or shareholders. Common triggers include disagreement over management, unequal contributions, a partner taking money, refusal to follow the governing agreement, and one owner pushing another out.

Do I have to sue, or can this be settled?

Many disputes settle through negotiation, mediation, or arbitration, particularly when the business is worth more running than liquidated. Our attorneys handle both settlement work and courtroom litigation, and we look for the route that fits your goals and budget.

How long do I have to file a lawsuit over a broken partnership agreement?

A claim based on a written agreement has a five-year limit in Florida. A claim based on an oral or implied agreement has four years. Fraud claims are four years from discovery, with an outer cap of 12 years, and specific performance is one year. Because different claims in one dispute can carry different deadlines, it is safest to evaluate them together early.

Can a court dissolve my LLC if my partner and I are deadlocked?

Yes, if the statutory conditions are met: the managers or members are deadlocked, cannot break the deadlock, and irreparable injury to the company is threatened or happening. But if your operating agreement contains a deadlock sale provision that was properly initiated before the court determines grounds exist, that provision applies instead of a dissolution order.

My partner is draining company accounts. Can a court stop it?

Often, yes. Courts can issue injunctions and take steps to preserve company assets, and in a dissolution case may appoint a receiver or custodian after notice and a hearing. You will want documentation of the transfers before asking.

What is “fair value” in a shareholder buyout?

It is the price at which the corporation or remaining shareholders buy out a petitioning shareholder in a dissolution proceeding. It is often the central fight in the case, since each side’s valuation expert tends to reach a very different number. If the parties settle on value and terms within 60 days of the first election, the court enters the order.

I live in New York or New Jersey and my partner is in Palm Beach County. Do I need to travel?

Not for every proceeding. We handle the local court appearances and keep out of state clients informed at each stage, so you can protect your interest without flying down for every hearing.

Can I be forced to sell a property I co-own with a former business partner?

If the court finds the land cannot be fairly divided, it can order a sale and distribute the proceeds by ownership share. Heirs property gets added protections. Whether a partition action is available to you, and whether a buyout is a better answer, depends on how title is held.

Does the 2023 change to the negligence deadline affect my partnership case?

Generally no. The legislature shortened the negligence limit to two years, but it did not change the five-year period for written contracts or the four-year period for intentional torts. Fiduciary and contract claims between owners typically fall under those longer periods, though professional malpractice claims against outside advisors carry their own two-year period.

How long does a partnership case take in Palm Beach County?

It varies widely with the claims, the number of parties, and whether emergency relief is needed. Palm Beach County assigns civil cases to tracks under a differentiated case management order, so complexity affects pacing. Early negotiation or mediation can shorten things considerably, and we will give you a realistic expectation after reviewing your documents.

Is hiring a lawyer worth it if the business is small?

Often it is, because small companies tend to have thin paperwork, and the fight is usually over who owns what and who controls the bank account. An early review of your agreement can sometimes resolve a dispute before it becomes a lawsuit. We aim for cost-effective solutions rather than legal fees that outweigh the value of what is at stake.

Serving North Palm Beach Partnership Dispute Clients and the Surrounding Communities

Further south in the county, we serve clients in Palm Beach, Lake Worth Beach, Boynton Beach, Delray Beach, Boca Raton, and Royal Palm Beach, along with the western communities of Wellington and Belle Glade.

Many partnership disputes cross county lines, so our work extends into Broward County as well, including Fort Lauderdale, Deerfield Beach, Pompano Beach, Coral Springs, Plantation, Hollywood, and the surrounding communities. We also represent clients from New York, New Jersey, and Connecticut who own businesses, investment property, or a share of real estate in Palm Beach County and Broward County, and whose co-owners are here in South Florida.

Speak With a North Palm Beach Partnership Dispute Lawyer Before the Dispute Hardens

When a business relationship breaks down, the choices you make in the first few weeks, about documents, communication, and deadlines, shape everything that follows. If you need a North Palm Beach partnership dispute lawyer who will read your agreement closely and tell you plainly what your options are, call the Andrew M. Schwartz Legal Team. We return calls within 24 hours, and we will arrange a conference at a time that works for everyone involved.