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Company shares : shareholders agreements and disputesSolicitors here advise on and supply documentation relating to the relationships between shareholders in limited companies and conduct litigation and arbitration arising from company disputes between them. It is often prudent for shareholders to document the terms of their agreement. This is often done by the insertion of special provisions in the company's articles of association or by a separate agreement ("shareholders' agreement") between shareholders or by a combination of the two. Shareholders in private limited companies address issues such as restrictions on the transferability of their shares and the absence of a market for sale of those shares, especially if the shareholder is not in a controlling position.
A person acquiring shares in a private company without obtaining control will prudently seek special protection and rights to safeguard his position.
Where the affairs of a company can be demonstrated to have been conducted by the majority shareholders in a manner unfairly prejudicial to the minority shareholders, a right of action for an injunction and damages may be available by way of application to the Companies Court. Our solicitors are experienced in Companies Court litigation for clients located throughout the United Kingdom and internationally.
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Relevant material Shareholders: More power to sue directors for negligence UNFAIRLY PREJUDICIAL COMPANY LAW : MINORITY SHAREHOLDERS Planning for times when partners fall out SHAREHOLDERS - COMPANY MANAGEMENT - UNFAIRLY PREJUDICIAL CONDUCT - PURCHASE OF MINORITY SHAREHOLDING WITHOUT DISCOUNT Director cannot require purchase SHAREHOLDERS AGREEMENTS : SHARES : SPECIFIC PERFORMANCE : OPTIONS : CONSTRUCTION OF SHREHOLDERS AGREEMENT Equality of arms for minorities |
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