After forming a limited liability company and working together for several years, one member alleges his partner has been diverting business and funds from the company for his own benefit. The partner has been solely responsible for most of the financial aspects of the entity, and has sole access to their accounting system and records. As the member asks questions of his partner, discussions that have never occurred until recently but should have been occurring all along, the partner becomes more and more defensive. Ultimately, their relationship breaks down, disrupting the normal course of their business.
One morning, the member attempts to access their business, only to find that the locks have been changed. Looking through the windows, the member can see that the computer traditionally sitting on his partner’s desk is no longer there. After repeated attempts to connect with his partner, the member’s only course of action is to contact an attorney and start legal action to preserve his interest in his company as well as obtain access to all the company records, including the accounting records.
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