Loading...

Top
Help
×

By creating an account you can:

Logo TaxTMI
Call Us / Help / Feedback

Contact Us At :

E-mail: [email protected]

Call / WhatsApp at: +91 99117 96707

For more information, Check Contact Us

FAQs :

To know Frequently Asked Questions, Check FAQs

Most Asked Video Tutorials :

For more tutorials, Check Video Tutorials

Submit Feedback/Suggestion :

Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters 0/2000
TMI Blog
Home / TMI Blogs / RSS

Oppression in quasi-partnership companies protects excluded founders, while Swiss Challenge buyouts can validly resolve irretrievable shareholder deadlock.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Oppression in a quasi-partnership family company arises where a founder and substantial shareholder is excluded from management and profit-related benefits without due process or justification. Permitted competition under an exit settlement, absent misuse of company data or employee solicitation, did not justify exclusion. In the absence of proof that board-meeting notices or minutes were served, non-attendance did not establish vacation of the directorship. The oppression finding was therefore sustained. Although the articles contained pre-emptive transfer rights, an independently supervised Swiss Challenge process for either shareholder group to acquire the other's shares substantially met their purpose and was upheld as a fair, transparent remedy for irretrievable breakdown of trust.....