[WSBAPT] Minority Shareholder Opens Competing Business

[Jennifer L White]

Not a legal theory, but assuming Mom & Dad have other assets in their portfolio, he could be reminded that the likelihood they are going to include him in their estate plan is dwindling the longer he acts like a Jack A$$!

Jennifer L. White, Esq.
[cid:image002.jpg at 01D6CA50.7B1FBBC0]

jen at appletreelaw.com<mailto:jen at appletreelaw.com>
PO Box 11037
Yakima, WA 98909
509.225.9813

From: wsbapt-bounces at lists.wsbarppt.com <wsbapt-bounces at lists.wsbarppt.com> On Behalf Of Jeff Davis
Sent: Friday, December 4, 2020 2:58 PM
To: 'WSBA Real Property Listserv' <wsbarp at lists.wsbarppt.com>; 'WSBA Probate & Trust Listserv' <wsbapt at lists.wsbarppt.com>
Subject: [WSBAPT] Minority Shareholder Opens Competing Business

Listmates,

This is an off topic issue for both listservs but I think some of you may have ideas that will help (or tell me there is no recourse).  Clients (husband and wife) opened a family plumbing business and put it into a C Corp.  Subsequently they granted shares in the corporation to three children, but retained control.  There is no shareholder buy-sell agreement.  One son has now opened a competing business and is actively trying to divert business from the clients.  I see nothing in RCW 23B.06 .07 dealing with this problem.  Clients would like to force their son to either give back his stock or buy it back.  Is there any theory under which this can be compelled?

Jeff Davis

W. Jeff Davis, Esq.
BELL & DAVIS PLLC
P.O. Box 510
Sequim WA 98382
Phone No.:(360) 683.1129
Fax No.: (360) 683.1258
email: info at bellanddavispllc.com<mailto:info at bellanddavispllc.com>
www.bellanddavispllc.com<http://www.bellanddavispllc.com/>

The information contained in this e-mail message may be privileged, confidential, and protected from disclosure. If you are not the intended recipient, any dissemination, distribution, or copying is strictly prohibited. If you think that you have received this e-mail message in error, please e-mail the sender at info at bellanddavispllc.com<mailto:info at bellanddavispllc.com>  or call 360.683.1129

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20201204/fdfbff1c/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 10522 bytes
Desc: image002.jpg
URL: <http://mailman.fsr.com/pipermail/wsbapt/attachments/20201204/fdfbff1c/image002.jpg>