Questions & Answers
Partner's refusal to sign cheques and threatening the company situation
My partner has been out of UAE for more than 6 months since October 18-2019. We both have dual signatories on the cheque for the LLC.
Now he is threatening that unless he is paid money, he will not leave the company. All the cheques I have are over and the situation has jeopardized my business and I cannot do anything here.
He has put us in a difficult situation and does not agree to sign cheques. Please tell me what solution I have as I am in the verge of collapse.
Hello,
I trust you are well.
In order to provide guidance regarding the appropriate steps to be taken in this case, we will need to review the documentation that relates to the company.
This will mainly include the MOU/MOA. Through this, we will be able to better understand the regulations that govern the conduct of shareholders.
Moreover, if existent, we will need to review a shareholders' agreement or a partnership agreement to confirm if disputes between the shareholders will be settled in a specific manner or otherwise.
Once determined, and based on the facts of your case, we can then issue a legal notice to the other shareholder notifying him of any breaches and/or obligations under the agreements and relevant UAE laws.
For further information, please contact us via email.
