Case study: Mediation to resolve a co-founder deadlock

Two co-founders clashed over exit obligations, solicitation, and IP ownership.

Challenge: Deadlock on IP assignment, exit clarity, and poaching resulting in litigation risk.

Approach:

  • Neutral framing: Recorded settlement with neutral terms of exit, non-disparagement and transition.
  • IP Protection: Allocated IP to the continuing member and company.

Outcome:

  • Clarity restored: Roles and ownership stabilized; business continuity maintained.
  • Litigation avoided: A pre-agreed resolution path reduced future conflict costs.