Can my partner force me to sign a credit card agreement?
Question Details: I am an owner of a business with my partner. I have for many year carried a company credit card and have on occasion made personal purchases that I have always reimbursed to the company. My partner wants me to sign an agreement that states I will be subject to disciplinary action and/or termination if my card is used for personal purchases moving forward, including legal action if necessary. I don't think this is necessary as I am an owner and have always paid back my charges. Who's correct?
Are you 50-50 owners? If so, he has no legal power or right to make you sign this agreement. In this scenario, you both have equal power and so he cannot compel you to do something against your will.
If he is a majority owner (owns more than 50%), then he could terminate you from your position with the company, deny you use of the credit card, take away your salary, etc., since as a majority owner, he controls the company. He can't take away your actual ownership, but as the controlling owner, he can control who works for the company, what they are paid, whether they get a corporate credit card, etc. So in this situation, he could sue this power as leverage to make you sign.