Expulsion from the Company: Right or Wrong?

According to the provisions of the Law on Enterprises 2014, an enterprise is an organization with its own name, assets, a transaction office, registered for establishment according to legal regulations for business purposes. Among them, a partnership must have at least two members who are co-owners of the company, conducting business together under one common name (collectively referred to as general partners). In addition to the general partners, the company may also have contributing members;

According to Clause 3, Article 180 of the Law on Enterprises 2014, a general partner shall be excluded from the company in the following cases:

- Unable to contribute capital or fails to contribute capital as committed after the company has made a second request;

- Violates provisions of Article 175 of the Law on Enterprises 2014;

- Conducts business dishonestly, imprudently, or engages in other inappropriate behavior causing serious damage to the interests of the company and other members;

- Fails to fulfill the obligations of a general partner correctly.

Thus: Based on the above provisions, if a general partner of the company conducts business dishonestly, imprudently, or engages in other inappropriate behavior causing serious damage to the interests of the company and other members of the company, they will be excluded from the company.

Therefore: In the case you provided us, you have repeatedly conducted business dishonestly, imprudently, and have engaged in other inappropriate behavior, causing serious damage to the interests of the company and other members. The company has held meetings to review and remind you multiple times, but you have persisted.

Thus, the company's decision to exclude you is legally grounded.

Note: You will cease to be a general partner of the company from the effective date of the exclusion decision.

The above is our advisory opinion regarding the issue you are inquiring about.

Sincerely!