Questions & Answers
How to deal with a managing partner after losing investment due to hiding information?
Hi,
I invested a sum of money and entered into a partnership in an LLC in Ajman for cafeteria activity.
The managing partner didn't keep accounting properly through my reminders by emails and phone calls.
After some time, the business was losing but I was not able to take the decision to sell my share due to lack of data.
The business has stopped.
The value of selling the business is less than the liabilities accumulated from rental, water, electricity, mobile.
Recently, the landlord filed a legal notice for bounced cheques and I understood it has criminal and civil cases. PDC is issued by the managing partner.
I can see the below 3 options, please advise which one is best and if there are other options as well.
1- Sell the business and, on top of that, pay my share in the liabilities? This means a complete loss of investment.
2 - Sue the managing partners for negligence and hiding information which led to a loss of investment. Had they reported properly before, I could have sold my shares.
3- Do nothing and wait for court.
Dear Client,
Good day!
Yes, the course of action that you have noted is correct.
You have all three options but as lawyers, we would suggest that you need to proceed with getting your rights if you invested money.
You have even WhatsApp messages and any emails that are accepted in court. So, if you have any proof of you paying the money to the cafeteria, you can get the money back.
For further assistance, please feel free to contact us via phone or email.
Thank you!
