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Business partnership disputes arise when partners or co-founders can no longer agree on how the business should be run, or when trust between them breaks down. Common flashpoints include disagreement over roles and decision-making, one partner’s conduct, unequal contribution or effort, and disputes over exiting or dissolving the partnership. Left unresolved, these disputes can paralyse day-to-day operations and put the business itself at risk. We advise partners, co-founders and small businesses across Australia on resolving these conflicts.
Our team has deep experience with partnership agreements, the Partnership Act and the practical realities of a business built around a small group of founders. We assess a dispute early, advise on realistic outcomes and pursue the path most likely to protect our client’s interests, whether that’s renegotiating the partnership, a buyout, or an orderly exit. Fixed-fee options are available for defined stages of a matter, and we act nationally from offices in Melbourne, Sydney, Brisbane and Perth.
We act in disputes arising from a breach or ambiguity in a partnership or shareholders’ agreement between co-founders.
We help partners and co-founders work through breakdowns in trust or decision-making before they threaten the business.
We advise on disputes over exiting or dissolving a business partnership, including asset division.
We advise on disputes arising from a partner’s conduct or unequal contribution to the business.
We negotiate fair buyout terms when a partner or co-founder is exiting the business.
We resolve partnership disputes through negotiation and mediation where possible, and litigate when necessary.
A business partnership dispute is a disagreement between business partners or co-founders, commonly over decision-making, conduct, contribution to the business, or exiting the partnership.
A partnership agreement typically covers each partner’s role, profit and loss sharing, decision-making, and what happens if a partner wants to exit or the partnership ends.
Without a written agreement, the partnership is generally governed by the relevant state Partnership Act, which may not reflect what the partners actually intended.
It depends on the partnership agreement and the circumstances. Forcing a partner out without proper grounds or process can itself give rise to a dispute.
Most partnership disputes are resolved through negotiation or mediation, often reaching a buyout or restructured arrangement, before escalating to court if needed.
As early as possible, particularly once trust between partners breaks down or a dispute over roles, conduct or exit arises, so options can be assessed before positions become entrenched.