Dissolving A Joint Venture – Breaking Up Is Not Easy To Do

In difficult economic times hard decisions – like to dissolve a joint venture – may have to be made. But those decisions need not be rushed or unprincipled. And good money can be thrown away if the right course is not adopted, as a recent Federal Court case demonstrates.

The present economic climate has already led, and will continue to lead to in the short term, a reassessment of business relationships. Difficult questions about whether you can trust your business partner or whether your joint enterprise is robust enough are on the minds of many small, medium and large enterprises.

If action is to be taken to bring to an end a business relationship, then the steps taken should be sure footed. Ideally, all involved will be of like mind and an amicable settlement will be reached. But, experience tells us that breaking up isn't always easy to do.