Variation of class rights, Business Law and Ethics

Variation of class rights:

It is only necessary to follow the variation of class rights procedure (and a dissenting minority can only apply to the court for cancellation)  if what is proposed amounts to a variation of the class, right of itself.  It is not a variation of class rights:

to issue shares of the same class to allottees who are not already members of the class (unless the defined class rights prohibit this);

WHITE v. BRISTOL AEROPLANE CO.

The company made a bonus issue of new ordinary and preference shares to the existing ordinary shareholders who alone were entitled under the article to participate in bonus issues.  The existing preference shareholders objected that by reducing their proportion of the class of preference shares the bonus issue was a variation of class rights to which they had not consented.

Posted Date: 1/15/2013 3:06:51 AM | Location : United States







Related Discussions:- Variation of class rights, Assignment Help, Ask Question on Variation of class rights, Get Answer, Expert's Help, Variation of class rights Discussions

Write discussion on Variation of class rights
Your posts are moderated
Related Questions
OPPRESSION OF  MINORITIES:                    7.3.1 Section 211 of the Act provides that any member of a company who complains that the affairs of the company are being conduc

Redemption of Shares: Section 60 (1) empowers a company limited by shares to issue preference shares that are, or may be at the option of the company are to be liable, to be r

Rules for Partnership - Partnership Law Joint tenancy, as such tenancy in common then joint property or common property and may part ownership does not of itself produce a

Need for research Design: a. It facilities the smooth sailing of the various research operations thereby making research as efficient as possible yielding maximal inf

Contract for Work and Materials In Robinson v Graves a dispute arose over an agreement below such an artist had promised to make a portrait about 250 guineas. So query had to

Types of Agents - Agency Law Although broadly agents are either special or might be general depending on the scope of authority.  Subsequently an agent engaged to carry a task

Question : Public Relations units in organizations are generally considered as expense centres, as only the input and expenditures can be measured adequately. Therefore, to sec

PROXIES - meetings and resolutions: By S.136(1), any member of a company entitled to attend and vote at a meeting of the company shall be entitled to appoint one more person (

Common law rules: The above common law rules have been modified by the following statutory provisions:  VOID ALLOTMENTS a) S.50 A renders an allotment void if it was mad

Define the term - Credibility and Reputation Nature and characteristic of the environment in which a policy has been chosen has a number of important implications. As we have a