Fatemeh Rakideh
trainee lawyer at the Iranian Central Bar Association
partner or shareholder dispute in an Iranian company

partner or shareholder dispute in an Iranian company

Disputes between partners may arise from management of the company, profit distribution, access to information, transfer of an interest, voting rights, or directors’ decisions. The resolution of each dispute depends on the company type, the articles of association, company agreement, meeting minutes, and agreements between the partners.

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partner or shareholder dispute in an Iranian company

Disputes between partners may arise from management of the company, profit distribution, access to information, transfer of an interest, voting rights, or directors’ decisions. The resolution of each dispute depends on the company type, the articles of association, company agreement, meeting minutes, and agreements between the partners.

Important aspects of this matter

Point 1

Articles of association, company agreement, latest notices, and company minutes

Point 2

Documents evidencing ownership of shares or capital interests and the associated voting rights

Point 3

Written agreements between partners, Correspondence and related financial documents

Point 4

Final goal; continuation of cooperation, Amendment of decision, Transfer of share or termination of relationship

Legal documents and decisions related to partner or shareholder dispute in an Iranian company

Legal points and course of action

In corporate disputes, a single decision can have both internal effects between partners and external effects against third parties. For this reason, the limits of the directors' authority, the meeting procedures, the decision-making quorum and the official documents of the company must be analyzed alongside the actual conduct of the parties.

In every case, compare the company’s current registration records, internal documents and actual events. Similar case labels do not mean that the relief sought, opposing party or legal outcome will be the same.

Related topics

Frequently asked questions

The type of company, its articles of association or company agreement, registration notices, meeting minutes, number of shares or quota interests, and the precise subject of the dispute are first identified. It is then possible to decide on negotiation, a registration step, arbitration, or judicial action.
No. Depending on the contracts and documents of the company, negotiation, the company's internal mechanism or arbitration may also be used. The choice of route depends on the subject of the dispute and the validity of the dispute resolution clause.
It should be checked under which authority the decision was made, with what quorum the meeting was held and what authority the partner or director had. The mere opposition of a partner does not always invalidate the decision.

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