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Dissolutions & Partnership Disputes

Phoenix Attorneys for Business Dissolutions and Partnership Disputes

Protecting your rights in conflicts with co-owners

Anyone engaged in business long enough will eventually become involved in a dispute. These disputes are not limited to customers, trade partners or employees. Conflicts among stakeholders in a business are quite common and often lead to a parting of the ways. While going through a dissolution, or what is informally known as a “business divorce,” is undeniably stressful, the attorneys of Law Offices of Donald W. Hudspeth P.C., can help you through this difficult time.

Experience resolving a wide variety of partnership dispute scenarios

There are different rules for different entities when it comes to ownership disputes and dissolutions, and if your legal representation is not adept at protecting your interests, you could wind up on the losing end of the transaction. Our firm has experience with all types of corporate entities and partnership structures. We are here to protect your interests in:

  • Local and international contract disputes
  • Employment law matters
  • Franchise disputes
  • Partnership and shareholder disagreements
  • Business dissolutions
  • Separation of a business partnership (business divorce)
  • Collection matters
  • Disputes regarding the management of business debt or assets
  • Technology licensing agreements
  • Intellectual property theft cases
  • Breach of contract claims
  • Fraud
  • Deceptive or unfair business practices
  • Fund division

You’ve put a great deal into your business, and you’re entitled to get your fair share from it. Be sure to retain the services of knowledgeable and experienced business attorneys who can capably manage complex dissolutions.

Using all available tools to turn legal problems into business solutions

In everything we do, our firm draws on the practical business experience and specific legal knowledge of our talented attorneys. However, we are also up-to-speed with current technology and can use numerous tools to your advantage. Our attorneys have considerable experience with electronic evidence such as computer/internet records and data recovery — two very influential elements in determining who is right in a modern-day business dispute.

Contact our Phoenix law firm for detailed management of your business dissolution

If you’re going through a conflict with one or more of your business partners and fear it may lead to a dissolution of your business, get capable legal help today. Law Offices of Donald W. Hudspeth P.C., can protect your rights and fight to achieve your goals for your business future. To schedule a consultation, call our Phoenix firm today at 866-696-2033 or contact us online.

Dissolving a Business in Arizona

At Law Offices of Donald W. Hudspeth P.C., we put our 30-plus years of Arizona business law experience to work for you to make dissolving your business as quick, painless, and profitable as possible.

Dissolving a partnership

Before you take steps to dissolve your partnership—general, limited, or limited liability—get state and federal income tax advice, and make sure you fully understand the financial ramifications of shutting down your business. If you are a partner in a general partnership, or are the general partner in a limited partnership, you may be responsible for some of your partnership’s debts even after dissolution. On the other hand, if your business still has assets after you have paid off all creditors, the government will view any dividends of the dissolution as income and tax them as such.

Next, get an agreement to dissolve or terminate the partnership in writing, if you are a partner in a multi-member partnership where not all the partners are close family. The written dissolution agreement should include details about payment of final expenses, the timing of the assignment of assets, who gets what, when the partnership will cease activity, and when the partnership will notify the Arizona Corporation Commission.

Finally, pay off all creditors with remaining partnership assets before you file Articles of Dissolution with the Arizona Corporation Commission. Arizona law does not permit partnership members to make further payments to themselves and leave creditors out in the cold when dissolving a partnership.

Dissolving a corporation

If your corporation has not issued shares or commenced business, the majority of initial directors or incorporators may simply dissolve the corporation by filing Articles of Dissolution with the Arizona Corporation Commission. If the corporation has already commenced business, Arizona corporate dissolution becomes a bit more complex.

Once shares are issued, the board of directors may propose dissolution to the shareholders. The board must notify each shareholder—regardless of voting rights—of the proposal and the shareholders meeting which will vote on the issue. Unless the articles of incorporation or the board of directors require otherwise, a majority vote for dissolution is sufficient for the board to proceed to dissolve the corporation.

Article of Dissolution must be published, and all fines and fees paid, before the Arizona Corporation Commission will consider the corporation dissolved. Dissolved corporations do not cease to exist, but continue to function only to the extent necessary to wind down their business. This includes collecting outstanding debts, paying off creditors, disposing of properties that will not or cannot be distributed to the shareholders, and distributing remaining assets to the shareholders according to their interests.

Dissolution can be as easy as signing forms (if all the owners do it) or as difficult as a long divorce. If “partnership” dispute arises, early legal counsel is important. Unilateral dissolution or removal of one member by another is not legal effective and may give rise to legal claims.

Protect yourself from personal liability and work with expert Arizona business lawyers

Located in midtown Phoenix, Law Offices of Donald W. Hudspeth P.C. serve the business community throughout Arizona. Many of our Phoenix business law attorneys have personal experience as small business owners or high-level private sector employees, and we draw on our personal experience every day to make sure we fully understand the goals and interests of our clients.

If you are thinking about dissolving an Arizona corporation or partnership, call us at 602-265-7997, toll free at 866-696-2033 or contact us online today to arrange an initial consultation about how to proceed.


At Law Offices of Donald W. Hudspeth P.C., we do more than connect the dots—we create the dots.

What others are saying about us
  • "I would recommend Mr. Hudspeth unequivocally. Not only is he an outstanding business attorney, he also provided me with access to a divorce attorney. Thanks to his skill, and resources available outside the Phoenix law family, I was successful in challenging a “family law” mediation that was particularly and grossly unfair." - Chandler, Arizona Private Individual

  • "Thank you for the work you have done in creating these documents. It is always a pleasure dealing with this firm!" - J. P.

  • "An excellent response. Masterfully prepared. Thank you." - El Paso, Texas Real Estate Investor

  • "Glad about meeting with Don. Felt so much better, better than in 15 years. Really appreciated the conversation." - RH, Phoenix Manufacturing Company

Donald W. Hudspeth Attorney Photo
Donald W. Hudspeth
Principal Attorney

Attorney Donald W. Hudspeth has more than twenty years’ experience practicing corporate and business law. Before attending law school, Mr. Hudspeth held a stock brokers license at the age of 21 and owned his own business at the age of 23. He was a business law professor at Arizona State University, West Campus, and has conducted classes and seminars for a number of higher institutions and organizations. Mr. Hudspeth has published two books on law and is the founder of the radio programs Law on the Edge and Law Talk.

Robert J. McGee Attorney Photo
Robert J. McGee
Associate Attorney

Robert J. McGee is an Arizona native who has been practicing law since 2014. Robert’s primary experience is with all aspects of intellectual property – trademarks, copyrights, trade secrets, and patents. Robert has substantial additional experience with cyberlaw. He is an avid collector of esoteric knowledge and always takes an interest in the details of how each client’s business works.

Mark S. Hamilton Attorney Photo
Mark S. Hamilton

About Attorney Mark S. Hamilton has experience handling all aspects of civil and commercial litigation in federal, state, and tribal courts at the trial and appellate levels. Practice Areas Business litigation Commercial litigation Education University Of Hawaii Wm. S. Richardson School Of Law, Juris Doctor - 2002 University Of Hawaii, Master Of Arts In Asian…

  • Preeminent AV Rated
    Client Distinction Award
    Bar Register
    AV Rating
    The Arizona Republic
  • Newsweek
    Arizona Sate University
    Top Rated Lawyers
    Client Champion
    McAfee Secure
  • Lawyers Of Distinction
    2020 issue of AZ Business Leaders

Our firm now offers a scholarship program for ASU first and second year law students.

The scholarship is awarded to students for academic merit with an interest in business and business law. Candidates may have majored in fields other than business, have taken a break between college and law school, or have had exceptional life experiences.

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