Divorce can be a messy in any form, and business divorce is no exception. Dissolving a business partnership is often more than just a financial decision; it can involve entities with long-term personal and professional relationships that both have vested time, effort and money into the business. Finding an equitable resolution can involve both the governing documents of the business and Arizona or other state statutes and extensive litigation. QuinnLaw’s extensive expertise in business law can benefit our clients that are undergoing a business divorce.

Breaking a legal business partnership or facilitating a business divorce can vary depending on the type of business entity. These dissolutions of business entities can involve completely dissolving the business, selling ownership to another partner or selling the business to a third party. Corporate divorces are often dictated by state law first, then governing documents of the corporation, while limited partnerships and LLCs are usually dictated by the governing documents of the business first, then the state statutes. Each business divorce litigation case is as unique as the businesses and individuals involved.

When a business divorce occurs, it often occurs due to a disagreement between partners or insolvency of the business or one of the partners. While the business does not necessarily need to be dissolved completely, to break the partnership, some form of dissolution must occur. Often partners cannot agree on the dissolution means, which is why litigation is necessary.