Formation and Dispute Resolution Attorneys
Joint ventures can be powerful tools for growth. They enable two or more parties to combine their resources, share risks, and pursue opportunities that might be out of reach individually. In New York, joint ventures are common in real estate projects, professional partnerships, and business collaborations of all sizes. Yet without clear agreements, these ventures often lead to costly disputes. At Kohan Law Group, we work with business owners and professionals to resolve conflicts that may arise. Contact us today for a consultation.
Equity Splits and Financial Arrangements
Few issues create more tension than dividing ownership and profits. Equity splits should reflect each party’s contribution, but disputes arise when expectations differ or obligations shift.
For example, one partner may provide most of the funding while another brings specialized expertise. Unless the agreement clearly defines ownership percentages and future capital contributions, disagreements are almost inevitable. Provisions for capital calls—requests for additional funding—are particularly important. Without them, a partner who refuses to contribute more money can stall or even derail the entire venture.
Common Disputes in Joint Ventures
Even the most carefully planned ventures can run into conflict. Some of the most common disputes include:
- Breach of fiduciary duty–One partner acts in their own interest instead of the venture’s.
- Breach of contract–Failure to meet obligations under the agreement.
- Mismanagement or misuse of funds-Disputes over accounting, expenditures, or distributions.
- Deadlock–Partners are evenly split and unable to make key decisions.
In real estate, these disputes may involve property sales, tenant issues, or construction delays. In professional partnerships, disagreements often arise over workload distribution, client relationships, or expansion strategies. Left unresolved, such conflicts can disrupt operations and lead to costly litigation.
Litigating Joint Venture Disputes in New York
When disputes cannot be resolved through negotiation or mediation, litigation may be the only path forward. New York courts handle joint venture disputes by reviewing agreements, assessing fiduciary duties, and determining whether one party breached its obligations.
Possible remedies include financial damages, injunctions to stop harmful conduct, or even dissolution of the joint venture. Because these cases often involve complex contracts and high-value assets, experienced commercial litigators are essential to ensuring that your interests are fully protected.
Why Work With Kohan Law Group
At Kohan Law Group, we understand both the promise and the pitfalls of joint ventures–they can open doors to opportunity, but also carry risks if not properly managed. When you are dealing with a dispute, we can help. Call us today to discuss your situation and learn how we can safeguard your business interests in New York.