Right to prior repayment, Business Law and Ethics

Right to prior repayment:

Therefore this was not variation of class rights since the existing preference shareholders had the same number of shares (and votes at a class meeting) as before.

(a)   to subseparate shares of another class with the incidental effect of increasing the voting strength of that other class:

                            GREENHALGH v. ARDERNE CINEMAS

The company had two classes of ordinary shares, i.e. 50p shares and 10p shares.  Every share carried one vote.  A resolution was passed to subdivide each 50p share into five 10p shares, thus multiplying the votes of that class by five.

Held:

                   The rights of the original 10p shares had not been varied since they still had one vote per share as before.

(b)   to return capital to the holders of preference shares which carry no right on a winding up to share in surplus assets but merely a right to prior repayment;

                            RE SALTDEAN ESTATE CO. LTD.

The company had ordinary shares and preference shares.  The preference shareholders were entitled to the prior return of capital on a winding up but nothing more.  The company proposed to repay the preference shareholders with the court sanction and return their capital to them so that the class of preference shareholders would be eliminated.

Posted Date: 1/15/2013 3:07:53 AM | Location : United States







Related Discussions:- Right to prior repayment, Assignment Help, Ask Question on Right to prior repayment, Get Answer, Expert's Help, Right to prior repayment Discussions

Write discussion on Right to prior repayment
Your posts are moderated
Related Questions
Contracts of Indemnity Indemnity is the undertaking about primary responsibility to see like a certain act is performed there.If a particular contractual promise such constitu

Read the newspaper report from  The International Herald Tribune, starting on page  2 of this assignment, and answer the following questions:  1. What is the general notion behi

What are the functions and powers of the United Nations General Assembly? The functions and powers of the United Nations General Assembly are as illustrated here: • To see a

Corporate Social Responsibility (CSR) has become a key aspect in the activities of an organization in the context of environment and community development, employees, customer serv

Explain United Nations Commission on India and Pakistan One such resolution dated 20th  January 1948 created United Nations Commission on India and Pakistan (UNCIP), which was

Qualifications of Advocates Conversely for qualify to admission as an advocate one must as; Be a US citizen or can say Possess a law degree from a recognized

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4 Who are refugees

State Article 30 of international law Article 30 further states that his or her private residence and papers, correspondence and property are all inviolable.

Question 1: Constructive dismissal is inherently different from dismissal in the sense that it is the employee who takes the initiative in considering the contract as having be

Direct Deliveries Limited (DDL). which is a company that specialises in selling a variety of goods to small independent retailers has grown quickly in the last three years.