The officers of a corporation have a duty as fiduciaries to use their authority to enhance the value of the company for its shareholders. Unfortunately, too many officers use their positions for self-enrichment, to reward cronies and to punish rivals. Such antics do nothing to add value to a company and can have a corrosive effect on operations, disrupt governance and lead to public relations scandals that tarnish the company brand. Schwartz & Kanyock, LLC in Chicago helps stakeholders fight back with focused, robust litigation services that deliver positive results. Our knowledgeable attorneys work closely and enthusiastically with corporate members, owners, partners and shareholders to arrive at cost-effective solutions to complex disputes.
A breach of fiduciary duty is essentially theft. Though it’s usually very difficult to mount a criminal case — and impossible to do so without creating a public scandal — aggrieved parties can take civil action to obtain equitable remedies and even monetary damages.
Schwartz & Kanyock, LLC represents parties in shareholder, LLC and partnership disputes involving a breach of fiduciary duty and the normal channels of corporate governance have not rectified the misconduct. The breach may amount to business oppression if it denies minority owners their rights. Business oppression also occurs when some party tries to freeze out/squeeze out dissident voices. The solution often involves entity control litigation to remove authority from the fiduciary who is in breach. When business co-owners feel their rights have been abused, the best remedy may be a business divorce, which allows them to go their separate ways on terms that fairly reflect their ownership interests.
An issue that can arise with newly appointed insiders is a breach of the restrictive covenants between the insiders with their former employer. The illicit use of another company’s trade secrets can open the new company to lawsuits. Inviting that sort of liability is a breach of duty toward the new company.
At Schwartz & Kanyock, LLC we understand the need for discretion when handling allegations of fiduciary violations. Though we deliver vigorous representation, we strive to conduct ourselves professionally at all times, so that our management of your complaint helps create a presumption of its validity.
An officer’s highest duty is to be a trustworthy fiduciary. Schwartz & Kanyock, LLC helps various stakeholders in Chicago area businesses to address breaches of fiduciary duty. To schedule your initial consultation, call today at 312-436-1442 or contact us online.