Protection of the rights of heirs in a corporate dispute over a military-industrial complex

Hereditary conflict

Turnover of company

19M $

The essence of the conflict

After the death of a shareholder who owned 50% of the company, the second 50% shareholder forced the heirs of the deceased to sell their share to him for nothing, and when they refused, on spurious grounds, brought a lawsuit to reclaim 50% of the shares, intending to take full control of the company for free.

At the same time, the opponent removed the heirs from the management of the company, stopped all contacts and organized black PR in the form of publications in Telegram channels and anonymous network sources.

As a result of the opponent's actions, there was a serious threat to the company's business - the company acquired a scandalous reputation as a constant participant in court disputes.

The Law Office Actions

Implemented a full-scale “active shareholder” strategy:

Filed a lawsuit seeking information about the company's operations to uncover the abuses of an opponent as CEO

Won the lawsuit in all instances - the director (opponent) was subjected to multi-million dollar fines

Successfully appealed all illegal actions of the opponent in courts and administrative bodies (the opponent was prosecuted for each violation)

Permanent initiated shareholders' meeting with an agenda on business development and avoiding damage to the company

Initiated the convening of the Audit Commission and its full-fledged work in the conditions of corporate conflict

Identified the fact of withdrawal of funds from the joint business abroad and carried out legal prosecution of the opponent abroad (search and interaction with local lawyers)

Result

Completely repulsed the opponent's claims for 50% of shares in courts of all instances

Shareholders' conflict was settled amicably: the company's business was preserved and the parties waived mutual claims

Assisted the heirs to sell the Asset to a strategic investor at its market price