Wrongful termination?

Employed with an company for close to 20 years. I was given shares which makes Me a shareholder. The paperwork I signed states that based on me owning shares I can terminate my position at any given time or the corporation for reasonable cause. At time of termination I was told it was for just cause but was never given a specific reason why. I have a copy of the shareholders document with my signature and the CEO. Do I have a case for wrongful termination.

3 answers  |  asked Mar 14, 2015 05:38 AM [EST]  |  applies to Ohio

Answers (3)

Neil Klingshirn
Here is an article on the rights of minority shareholders in Ohio:

http://www.myemploymentlawyer.com/wiki/Rights-of-a-Minority-Shareholder-Employee-in-Ohio.htm

Your rights as a minority shareholder were probably subsumed into your right, under your employment agreement, to be discharged only for just cause. In other words, as David Neel suggests, you may have a claim for breach of contract, the breach being that you were not removed for just cause. However, I would need to review your contract and the circumstances of your removal before I could form an opinion as to the merits of such claim.

posted by Neil Klingshirn  |  Mar 17, 2015 12:07 PM [EST]
Bruce Elfvin
In order to really answer your question there are different facts that must be fleshed out in my opinion. When you became a shareholder how was the company operated? This has a big impact in terms of your rights in a closely held corporation. I do not know the precise answer to your question, but you need to see an employment attorney that is familiar with close corporations.
Not certain where you are in Ohio, I am in Cleveland and can be reached at 216.382.2500

posted by Bruce Elfvin  |  Mar 16, 2015 1:02 PM [EST]
David Neel
The better case ould be for breach of contract.

posted by David Neel  |  Mar 14, 2015 3:06 PM [EST]

Answer This Question

Sign In to Answer this Question

Related Questions with Answers

Have an Employment Law question?

Contact Neil Klingshirn

Neil Klingshirn
AV rated Super Lawyer and Employment Law Specialist
Independence, OH
Phone: 216-382-2500