A friend and I are Company Directors in a company. It is setup so that we profit split 49% for me 51% for her. We have a standard constitution covering the business activities.
I’m a website developer and have worked for free for the past 3 years developing a website from scratch from my friend’s initial idea. The site is in the position now to start generating income.
She has a new boyfriend and is getting married. I've just received an email wanting me to ‘sell out’ my stake of the business to her for my financial costs only. I would retain a 10% stake.
She has the trademark to the site’s name.
I have sole access to the website hosting and have created all the content, processes, database and design work for the site.
Our financial costs are funded from personal finances. The business has no funds.
My financial costs: $2000.
Her financial costs: $3000.
She is a solicitor.
While my actual costs are only $2000, my time involved is closer to $60,000.
Issues:
I don’t want the 10% stake. I want a clean break and remove myself as a company director. Can she sue me for not wanting to accept her offer of 10%?
I want to ask for $5000. She offered this amount 18 months ago as a payment of good will, but I turned her down. Is it still acceptable to ask?
Upon payment I will hand over the website and all usernames and passwords. While I’m not happy, I want to keep the separation professional.
If she does not comply what legal recourse is available?
I think she needs to start paying for the hosting (monthly fee US $25) now as a first step.
I also want a professional indemnity insurance document indemnifying me from any future website updates by other developers.
What else should I be doing?
Thank you for your time in this matter
I’m a website developer and have worked for free for the past 3 years developing a website from scratch from my friend’s initial idea. The site is in the position now to start generating income.
She has a new boyfriend and is getting married. I've just received an email wanting me to ‘sell out’ my stake of the business to her for my financial costs only. I would retain a 10% stake.
She has the trademark to the site’s name.
I have sole access to the website hosting and have created all the content, processes, database and design work for the site.
Our financial costs are funded from personal finances. The business has no funds.
My financial costs: $2000.
Her financial costs: $3000.
She is a solicitor.
While my actual costs are only $2000, my time involved is closer to $60,000.
Issues:
I don’t want the 10% stake. I want a clean break and remove myself as a company director. Can she sue me for not wanting to accept her offer of 10%?
I want to ask for $5000. She offered this amount 18 months ago as a payment of good will, but I turned her down. Is it still acceptable to ask?
Upon payment I will hand over the website and all usernames and passwords. While I’m not happy, I want to keep the separation professional.
If she does not comply what legal recourse is available?
I think she needs to start paying for the hosting (monthly fee US $25) now as a first step.
I also want a professional indemnity insurance document indemnifying me from any future website updates by other developers.
What else should I be doing?
Thank you for your time in this matter