They might "get mad" but so what? Do you think (insert your favorite famously cut-throat and successful entrepreneur) cares about that? I certainly wouldn't off

They might "get mad" but so what? Do you think (insert your favorite famously cut-throat and successful entrepreneur) cares about that? I certainly wouldn't offer them MORE of a stake in the business out of some sense of guilt. You have no contract now, so don't offer them an actually real contract with shares, or you'll never get rid of them. A cash offer for "work for hire" done so far, even that seems generous at this point. It sounds like they're mostly disengaged anyway. It might be a good idea to formally "fire" them just as insurance. It might also be a good idea to get the equivalent of a restraining order against an angry ex. Some paperwork that says they will not make any such claims to ownership in the future. But if there is no signed contract, no issued stock, there's nothing to make a claim on. And it sounds like they're too lazy to sue you anyway. :) Even if you don't formally "write them off" you need to mentally cut them off and move on. It's not worth the emotional effort. Good luck with your business!