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When you work with an attorney, you will have no problem reducing the risks associated with getting your case in front of a judge and jury, or other formal court, when you need to. However, every case is different. It is important to work wi Bankruptcy is a situation, wherein an individual is termed as unable to discharge all the debts. When a person or a company is not able to pay off its creditors, it has an obligation to file a bankruptcy suit. In fact, a bankruptcy suit is a

Starting a business can beexciting. Some persons are able to start and operate a business on their own.Others, for various reasons, launch a business with friends, family members,colleagues or associates.  Regardless of whether you maypartner with your mother, brother, neighbor or essentially a stranger,memorialize your understanding in writing. Have partners been successful inbusiness without an agreement? The answer is "Yes." Is it advisableto do so? The answer is "No." A written document significantly minimizesmisunderstandings among partners and, if partners ultimately decide to go theirseparate ways, the transition can be much smoother.  A "ShareholderAgreement" (as it's generally called when a corporation is formed) or a"Partner Agreement" (in the context of a general or limitedpartnership). Both terms are used interchangeably in this article.  1. Identify the owners, theirrespective ownership percentage and financial expectations. Clearly set forththe name of each of the shareholders/partners and the number of shares orinterest each owns. Surprisingly, many businesses operate for years without astock certificate (or member certificate in the of a limited liability company)ever being issued. What could happen is that one partner may assume he/she hasan equal ownership in the business while another partner believes that he/sheowns a majority of the business. Also, be clear as to the amount of money eachpartner is expected to contribute to the business initially and on agoing-forward basis, and how profits and losses will be allocated.  2. Management Issues. Incertain businesses, particularly newly formed, small businesses the ownersparticipate in its daily management. It therefore makes sense to outline theduties and responsibilities of each partner so that all expectations are known. 3. Decide if ownershipinterests can be transferred to third parties. This is particularly importantfor small businesses which are "closely held" (i.e., has no more thanfive owners). Without this understanding, one partner may transfer his/herinterest in the company to a spouse, his best friend or some stranger, for thatmatter. The other partners may not want to be in business with someone theydon't know, like or one with a different business philosophy. A shareholderagreement may provide that a transfer of stock or ownership interest is notpermitted without the consent of the other partners, and may provide that theother partners or the entity may have the first right to buy the shares orinterests that a partner wishes to sell or transfer (i.e., a right of firstrefusal). 4. The effect that the death,disability or retirement of a partner may have on the business. If a partnerbecomes ill for an extended period of time or retires, chances are he/she mayno longer contribute to the business or its operation. An agreement may bestructured to provide that such partner's shares or ownership interest is to bebought back by the company or offered to the other partners.  5. Treatment of confidentialinformation. Owners of a business often obtain access to confidential,nonpublic information such as inventions, costumer information or marketing strategies.If a partner departs from the business, he may use this confidential informationto his advantage unless an agreement is signed precluding that partner fromdoing so. The shareholder agreement should include a clause which requires eachpartner to keep all nonpublic business information confidential and not todivulge it to any third party without the company's, he or she should berequired to return all confidential information to the company.  6. Restrictions againstnon-competition Avoid any misunderstanding or confusion as to whether a partnercan enter into a similar business if he or she were to leave the company. Anon-compete clause in a shareholder agreement can provide that a partner cannotdirectly or indirectly compete in the same type of business within a certainmile radius of the company's location. These are a few key terms relating to apartner agreement, but by no means a comprehensive list. What's important toremember is that whatever terms the partners agree to, such terms need to be inwriting and signed by all partners.  In many aspects, a businesspartnership is like a marriage good communication is key. The failure toeffectively communicate and enter into agreements that all parties can live withcan lead to a messy divorce.