L
lawisraw
Guest
Hello
My husband and a partner started up a corp (inc., nothing special) a few months back. They did not write any by-laws for the officers, them, and this is where the problem lies now, I believe. Partner (president) owns 51% of the company and my husband (vice-president) 49%. When they started, the partner was able to get the finances necessary (himself $40k, his father $30k). They used the money to buy the equipment for the business, everything they bought is in the company's name. It started picking up, but due to a technical set-back they had to get more financing ($11.5k), again found by the partner. At this point the partner demands that my husband shares in the financial burden and comes up with $40k or my husband is out. We are unable to come up with such an amount. My husband worked for the company for the last 6 months, without salary, and we had to go in debt to survive. The prognosis for the remainder of the year is again no salary for either of the officers until probably sometime beginning next year. That is impossible for us to do. So, the answer seems out. The partner sees all the long hours and work my husband put in the company during the past months as a "loss" for us, "unfortunate" - to use his words. We are thinking, we should at least be able to recover something? What are our options?TIA!!!
My husband and a partner started up a corp (inc., nothing special) a few months back. They did not write any by-laws for the officers, them, and this is where the problem lies now, I believe. Partner (president) owns 51% of the company and my husband (vice-president) 49%. When they started, the partner was able to get the finances necessary (himself $40k, his father $30k). They used the money to buy the equipment for the business, everything they bought is in the company's name. It started picking up, but due to a technical set-back they had to get more financing ($11.5k), again found by the partner. At this point the partner demands that my husband shares in the financial burden and comes up with $40k or my husband is out. We are unable to come up with such an amount. My husband worked for the company for the last 6 months, without salary, and we had to go in debt to survive. The prognosis for the remainder of the year is again no salary for either of the officers until probably sometime beginning next year. That is impossible for us to do. So, the answer seems out. The partner sees all the long hours and work my husband put in the company during the past months as a "loss" for us, "unfortunate" - to use his words. We are thinking, we should at least be able to recover something? What are our options?TIA!!!