Limited liability companies, or LLCs, are a relatively new form of business entity, having been introduced in New Jersey in 1993. LLCs are a popular form of business entity for individuals and partners going into business, combining many of the best aspects of partnerships and corporations, including limited liability for the owners for the company’s debts, favorable taxation, and flexible management arrangements. However, this flexibility can often lead to issues when disputes arise among the company’s owners regarding important operational decisions or the direction of the business. 

You can best protect your rights and financial interests with experienced legal representation. The attorneys of The Epstein Law Firm, P.A. understand how important a dispute over your LLC can be to you. That’s why we pursue every available avenue to defend your interests and seek the outcome you want and need. With our firm, you’ll have the benefit of knowledgeable and experienced legal advocates and litigators; our expertise in complex legal issues have led us to serve as leaders in the legal profession in New Jersey, including frequently presenting continuing legal education programs for our peers and working with the state bar and New Jersey Association for Justice.

If you need dedicated legal representation for an LLC dispute, contact us for a case review to discuss how we may be able to help.

Examples of Limited Liability Company Disputes We Can Assist You or Your Company With

We have extensive experience helping clients with a wide variety of LLC disputes. Let us help you if you are facing issues with your business partners, or with an LLC you hold an ownership interest in, regarding matters such as: 

  • Breach of the LLC operating agreement – 
  • Violation of the New Jersey LLC Act – Where an LLC doesn’t have an operating agreement, the company’s management and operations are governed by the New Jersey Limited Liability Company Act
  • Minority member oppression – Members holding a majority or controlling interest in the company may act to the detriment of minority members, including diluting equity interests, withholding company profits, or removing minority members from management positions, or eliminating management powers
  • Breach of fiduciary duties of loyalty and care, including engaging in self-dealing, paying excessive compensation, or misappropriation of company assets
  • Transfers of membership interests, when transfers of interests are strictly controlled by the terms of the operating agreement or by law
  • Buyouts of membership interests, when members seek to exit the company and be compensated for their ownership interests, or when business partners can no longer manage the LLC together
  • Partition and dissolution of the company, when an LLC can no longer function due to member disputes over management or strategy 

The Epstein Law Firm, P.A. Helps Clients Efficiently Obtain Favorable Outcomes to LLC Disputes

When a dispute in your limited liability company arises, you may initially fear that you and your company may be burdened with the time and expense of litigation in court. At The Epstein Law Firm, we diligently pursue alternatives to litigation that can efficiently and favorably resolve LLC disputes you may find yourself involved in. We can explore the possibility of resolving disputes through negotiations that culminate in an informal or an official written settlement agreement.

Many limited liability companies’ operating agreements have provisions requiring their members to submit disputes to alternative dispute resolution mechanisms such as mediation or arbitration. We are highly skilled in representing clients in alternative dispute resolution procedures. We can use our experience in business negotiations to help you achieve your goals and needs in a mediation, where a neutral third-party called a mediator tries to help both sides reach an acceptable agreement, or we can bring our litigation experience to arbitration, which is a trial-like process in which a neutral third-party – called an arbitrator – issues a final, binding decision on the parties based upon the evidence.

Of course, as experienced business litigators, we can also advise you when litigation represents the best or possibly the only option for pursuing the outcome you are looking for in an LLC dispute.

Contact Our Firm to Set Up a Case Evaluation to Discuss How We Can Help You with Your Dispute

If you’re facing the prospect of a dispute or are already in the middle of a dispute with your partners in a limited liability company, The Epstein Law Firm can help you reach a favorable resolution and protect your interests. Contact us for a consultation to go over your legal rights and options and to learn more about possible next steps for pursuing an optimal outcome to an LLC dispute that you and your business find yourself in.

Frequently Asked Questions about Limited Liability Company Disputes in New Jersey

Can a court only order money damages in a limited liability company dispute?

No. Most LLC litigation in New Jersey is heard in the chancery division of the trial court, which has the jurisdiction to order equitable relief in cases, in addition to money damages. Examples of equitable relief that trial courts in New Jersey can order in LLC disputes include ordering partition and dissolution of an LLC, forcing a buyout, authorizing a transfer or sale of a membership interest, or issuing restraining orders precluding the LLC or its members from taking certain actions.

Why do I need an attorney for an LLC dispute?

Limited liability company disputes are incredibly complex legal matters. Most disputes involve complicated issues such as valuation of the business, forensic accounting, and review of operating agreements and contracts. An experienced business litigation attorney will have a deep understanding of New Jersey limited liability company law and contract law. An attorney can ensure that your rights and interests are fully protected in an LLC dispute and can work hard to ensure that you walk away from the dispute in the best financial position possible so that you don’t lose the fruits of your hard work in building your company.


Due to the complexity of our case, most attorneys were not interested. Not only did Michael Epstein take our case, but he was able to manage the situation towards a multi-million dollar settlement that was well in excess of our expectations. They are practical, business-minded attorneys who demonstrated their expertise with every interaction. Michael & his team worked tirelessly & aggressively on our behalf and brought our case to a successful outcome.

Andrew W.

Michael Epstein and The Epstein Law Firm recently obtained a multi-million dollar settlement in an extremely complex and difficult financial services case. He and his team not only mastered the complex issues in the case, but also expertly handled all aspects of the negotiations. I cannot thank Michael enough for his dedication and hard work, and I highly recommend him and The Epstein Law Firm for those who need smart, creative, and aggressive lawyers who put their clients’ interests first.

Brian G.