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The rights of minority shareholders – what every shareholder needs to know

9th September 2013

By: Sheila Barradas
Creamer Media Research Coordinator & Senior Deputy Editor

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The broad concept of a company and business law by its nature is that its affairs are managed by a board of directors and that shareholders are bound by resolutions approved by the majority of them. The problem however arises when minority shareholders disagree or are prejudiced by the majority rule. Even where they wish to exit, they often find that their shareholding is unmarketable. The Companies Act  has introduced a number of remedies that may alleviate this.

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