---
title: "Partnership Disputes"
url: "https://legal.ge/en/service/dispute-resolution-and-litigation-en/partnership-disputes-en"
field: "Dispute Resolution & Litigation"
description: "Partnership disputes in Georgia: removal of managerial powers, information rights, withdrawal and expulsion of partners. Help from Legal.ge."
reviewed: "2026-02-13"
updated: "2026-10-15"
publisher: "legal.ge"
---

# Partnership Disputes

> Source: legal.ge, https://legal.ge/en/service/dispute-resolution-and-litigation-en/partnership-disputes-en

## Sources of Partnership Disputes and the Limits of Managerial Authority

Partnership disputes are conflicts inside a society concerning managerial powers, access to information, and the withdrawal or expulsion of a partner. The Law on Entrepreneurs regulates the consent of partners and the removal of a managing partner's authority: the statute may require the prior, mandatory consent of the partners for certain transactions. The managing partner may conclude a transaction without the consent of the remaining partners where delay would cause grave consequences for the general partnership, of which the managing partner must immediately notify the other partners. Where an important ground exists — for instance, where a partner has grossly violated his or her duties or is unable to manage the society properly — the court may, upon the claim of the remaining partners, deprive the managing partner of the managerial authority.

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### What triggers a partnership dispute?

Typical objects of a partnership dispute are abuse of managerial powers, refusal to disclose information, non-performance of essential obligations, absence of dividend distribution and questions of withdrawal from or expulsion out of the society.

### How is a partner expelled from a limited liability company?

Expulsion takes place only by a court decision, upon the claim of the society, where an important ground exists. The claim is filed within thirty days of the partners' decision.

### Who determines the value of a departing partner's share?

The value of the share is determined by agreement of the parties and, failing agreement, by an independent auditor. Where the parties cannot agree on the auditor, the auditor is appointed by the court.

### What happens to a bankrupt partner?

If bankruptcy proceedings are opened against a partner within insolvency proceedings, that partner is deemed to have left the general partnership from the moment the bankruptcy regime begins.