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Starting a business can be exciting and rewarding, but it can also be risky, especially when you have a business partner. It is not unusual for business partners to have disagreements that can lead to one partner being pushed out.

Shareholders are the owners of a corporate entity and hold rights over how the company is managed. If they detect wrongdoing, corruption, or fraud they can ask the board of directors to correct the situation. If the board fails to do so, they can take the issue to court through a shareholder derivative lawsuit.

If you operate a business, it is common to enter into agreements – called contracts, whether they’re written or oral – with other people or entities to supply products or services you need to run your enterprise.

Shareholders in corporations do have rights and can press their claims through class action or derivative lawsuits. In 2022, Twitter, Inc. topped the list of largest shareholder lawsuit settlements at $809,500,000.

Sometimes in the operation of a business, a shareholder may become an obstacle to achieving the goals of the corporation or company or may stand in the way of decisions that need to be made for the benefit of the entity.

Restraint of trade refers to any action that hinders or prevents a business from freely conducting its operations, whether that be for sales, trade, or transportation involving interstate commerce.

That is why it’s important to register your trademark with the United States Patent and Trademark Office (USPTO), which provides nationwide proof of ownership and date of registration in case an infringement case arises.

If you are in the market to sell your intellectual property, the question then becomes what it’s worth. You want to make sure you don’t get cheated in the process by undervaluing what you’re marketing.

Trade secrets can be challenging to protect because they are not registered like other intellectual property. Trade secrets, however, are often the key asset of a business. They confer important competitive advantages to your company and are as important to protect as any intellectual property. David H. Schwartz is an experienced trade secrets attorney who recommends and implements strategies to protect trade secrets and defend employees accused of stealing trade secrets.

San Francisco attorney David H. Schwartz is an experienced commercial litigator representing clients throughout California. From his Bay Area law firm, he has result-oriented representation with an emphasis on being fiscal efficient and having premium-quality client service for more than 45 years.