Legal Horizons' Client obtains security for claim for dissolution of company!

Legal Horizons represents a shareholder in a limited liability company in an extremely intense corporate dispute.

This shareholder holds half of the shares in the company's share capital and serves as the company's CEO. The company has two shareholders and two board members who, according to the company's articles of association, have joint representation. The conflict between the company's shareholders arose, among other things, from the second shareholder taking a series of actions to the detriment of the company and the other shareholder.

At the same time, the shareholder represented by Legal Horizons repeatedly attempted, unfortunately without success, to conduct talks with a view to resolving the dispute out of court.

As a result of the bitter dispute between the partners, the company (for over a year after the action for dissolution of the company was brought) did not conduct any business activity, incurring only losses. During the same period, the other shareholder, who was also a member of the management board, made further transfers from the company's bank account without the consent of Legal Horizons' Client.

Therefore, with the primary aim of protecting the company's assets from further depletion, Legal Horizons' Client decided to apply for security for the claim for dissolution of the company by prohibiting the other shareholder/member of the management board from making payments from the company's bank accounts without the consent of the management board expressed in a resolution. The District Court granted Legal Horizons' Client's request and secured the claim. The decision in this matter is final.

It should be emphasized that this is a major success for the partner represented by Legal Horizons, as courts very rarely, and only in extremely exceptional circumstances, grant security for a claim for dissolution of a company.

The Client in this case is represented by Ernest Kosa, attorney-at-law.