All You Need to Know about Resolving Shareholder Disputes

1. All You Need to Know about Resolving Shareholder Disputes Having a business is a dream of everyone but having it is not that easy. There is a huge difference between running a business and doing a job. A job can be done independently but running a business is just impossible without depending on someone. A business is basically a group of people who run it with the help of each other. Usually, a business involves officers, director and shareholders. Usually, shareholders do not work at the front end but they play an important role in every business. Remember, shareholders are the final decision-makers of every business. Shareholders also approved the resolutions of the directors. Usually, every business’s ownership depends on the owner or business partner. But, the ownership is decided by the one who has the major investment in the business. Having shareholder in the business is beneficial but usually, disputes happen in between the shareholders. Unlike other disputes, these disputes are never represented to the court. In fact, shareholder disputes are resolved by the arbitrator. The arbitrators carry out the process, known as arbitration. In the resolutions, the law varies according to the location. Suppose, if the shareholder belongs to Hong Kong, shareholder dispute resolution will be held in Hong Kong only and Clement Advisory Limited Unit 1504, 15/F, 50 Bonham Strand, Sheung Wan, Hong Kong (+852) 8128 2838 info@clement.com.hk https://clement.com.hk/

2. the same area’s law will be applied. On the other hand, if the shareholder belongs to Ontario, Canada, the same country's law will be applied. No matter where the arbitration is held, but it is only possible with the help of an arbitrator. It also depends upon the shareholder, whether they want to go for arbitration or they want to directly go for the courtroom proceedings. An arbitrator can do his best for the dispute resolution but the end decision remains with the shareholder. If they are not satisfied with the decision of the arbitrator, they can knock the door of the court. An arbitrator can never impose their decision on the shareholders. A shareholder has all the rights to challenge the decision of the arbitrator. In the Nutshell, it is good to go as soon as the dispute occurs. Never make any sort of hurry to find any arbitrator. A good arbitrator can resolve the issues within fewer days and a bad arbitrator can complicate the things. So, do proper research to find out the right arbitrator. Also, try to find out the best arbitrator in the nearest geographical boundaries. Clement Advisory Limited Unit 1504, 15/F, 50 Bonham Strand, Sheung Wan, Hong Kong (+852) 8128 2838 info@clement.com.hk https://clement.com.hk/