Changing from partnership to LLC

[gabrianas]

What is the name of your state? New York
my question is if a business is established as a partnership 25% and 75% is it possible for the partner who is 75% share to turn the buisness over to an LLC without both partners signing the papers at the lawyers office?

 

[hexeliebe]

What does your partnership agreement say as to voting rights of the partners?

 

[gabrianas]

Voting rights

This partnership is between family members. There was never a contract drawn just a DBA and that one partner is 75% owner on taxes and one partner is 25%.

 

[hexeliebe]

Then without a partnership agreement you are pretty much screwed. The 75% partner can sell his shares to an LLC and you are left holding a 25% interest in a business that you have no voice in.

I guess this is an expensive lesson. NEVER enter into a business relationship with ANYONE without a written contract.

At this point I would sell my interest in the partnership and look for other opportunities.