Ask HN: Need some advice
A "friend" and I decided to go into business together. It was and still is a great idea. Long story short he screwed me over and has never admitted to it. False promises were made. So now, the company has a new CEO and a decent team of people(Due to the VC firm that had made the original investment). Out of the blue this person decides to give up some of his ownership in the company because he now admits that he did screw me over. The company is closing more funding soon and I have to make my decision today. I have no time to seek legal advice, I know that I have grounds to sue not only him personally but the company as well. I'm being offered 2% of the company, however once the new round of funding closes it will go down to 1.4% When I left the company I was told I was entitled to 10% of the company. I shot back and said I would sign the documents for 6%. He shot back with, this is a gift and nonnegotiable as well as make it so he is not in majority control. This whole thing doesn't feel right and one of the documents they want me to sign is a Separation Agreement as well as give up my rights to sue the company. This person has lied to me in the past and has reason to lie to me still. So my question to the community is should I just so say fuck it and take a small deal or does someone have some other suggestions.
1 comments
Ouch. Sounds like a really bad deal dude. If it were me and I didn't have anything else invested in the company, I'd walk away with what you have now (which it sounds like nothing).
If the business practices are as shady as it sounds -- in an ideal world -- they won't be around long. Piss off the wrong person and it's over. I wouldn't want to be associated with the company.
-- my 2 cents
If the business practices are as shady as it sounds -- in an ideal world -- they won't be around long. Piss off the wrong person and it's over. I wouldn't want to be associated with the company.
-- my 2 cents