Practice Area

Shareholder Dispute — Corporation

Texas State Court · BOC Chapter 21

Situation — How This Comes Up

A shareholder in my corporation is blocking every decision the board tries to make.

What You Need to Know First

Shareholder obstruction in a Texas corporation is a governance failure. The bylaws and the Texas Business Organizations Code both provide mechanisms to break the deadlock — but they must be invoked correctly.

Full Analysis

Corporate shareholder disputes involve voting rights, board authority, fiduciary duties, and buy-sell provisions. Texas courts look first to the certificate of formation and bylaws before applying statutory default rules.

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