Occasionally, majority interest holders of a company will use their authority to make unilateral oppressive decisions to the detriment of the company and the minority owners. Fortunately, it was understood that majority owners can leave minority owners in a closely held entity extremely vulnerable, and legal mechanisms were put into place to protect the minority interest holders’ interests. If majority interest holders act in a manner that is considered arbitrary, overbearing, or heavy-handed then Illinois statutes exist which provide the minority interest holders relief from the majority interest holders' conduct.
- For Corporations – The Illinois Business Corporation Act, 805 ILCS 5/12.56
- For LLCs – Illinois Limited Liability Partnership Act, 805 ILCS 180/35-1(4)
- For Partnerships – Uniform Partnership Act, 805 ILCS 206/801(5)