Mar 11, 2019
What legal actions should I take against my ex business partner?
I own an e-commerce company which is solely registered under my name. I had an oral business partnership agreement with a partner, which was my former boss. We became close friends and he decided he wanted to willingly help me with my business and wanted to own 50%. No contract or agreement was ever signed. About 2 years passed and I started to notice his change in attitude and loyalty. I came across many big lies he had told me about several business opportunities. He also lied and made up about 4 different people who I originally interacted with only via email, they were supposedly his "assistants". Enough is enough and I had to let my ex-business partner go and he is sending me invoices through his "assistants" email threatening me with invoices that I need to pay him thousands of dollars back within 10 days. Mind you, the invoices are merchandise we bought from vendors. He copied and pasted the items on an invoice he created with his IT business name and added any price on it. He says If I don't pay he will send it to collections. He also says he filled out a K1 form that he filed under my business with his investments, not sure if this is even legal since a K1 form is only for partnership companies with two or more registered owners. He even stole my domain and used it to make another website with my brand logo and name. He also has made several Instagram accounts using my brand name. I feel like he’s trying to steal the company. Not sure what to do, any help?
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Mar 24, 2019
Hi Kimberly,
First off, we're very sorry to hear about this unfortunate set of circumstances. Operating a business can be demanding as-is, and these sorts of situations certainly don't make it any easier.
Consider yourself fortunate, though, that you had avoided signing any legally binding documents that would give your ex-business partner any leverage.
You'll definitely want to consult directly with a legal advisor, who will be able to provide you with clearer instructions on how to proceed with defending your business.
In the meantime, take a look over our guide to finding the perfect business partner: https://bit.ly/2DczgpO
We hope you find the information relevant and helpful!
Best of luck with the ex-business partner matter, and continued success with the business itself!
Mar 25, 2019
Any legal actions in such a situation will cost you a lot of money, so, don't care, register new entity, new brand and say goodby to your toxic friend. His attempts to do something just will advertise your new business.