Limited co shareholder dispute

[Anynamewill]

I started a company with a friend of mine. We had 1 share each and were both directors. We them bought a property through the company for £600k. We each leant the company £200k and borrowed £200k on a bridging loan. We had to pay the bridging loan off but my partner informed he didn’t have the money. So I leant the company a further £200k and the loan was paid off. We have not finished the renovation yet as my partner does not have the money. I told him I won’t put anything further in until he matches he. He said he won’t. I said I will put more money in if I convert the additional £200k in put in to pay off loan into shares. He won’t allow me to do that and informs his current 50% will vote against it therefore we are in deadlock. Is there anything legal I can do to force my additional loan to be taken as equity?

[atticus]

No. And I am struggling to think of anything that you can do to achieve that, given the deadlock position that you set up when establishing the company.

I take it that you are not in a position to buy the other shareholder out.

You might try to negotiate advantageous priority terms for any further loans.