Minority Shareholder Right

Where a wrong is done which infringes upon the personal rights of a shareholder, the shareholder is entitled to a personal right of action to enforce the personal rights conferred under the articles of association, shareholders agreement, statute or common law. Remedies may be sought for the sole benefit of the shareholder. For examples, majority […]

Shareholder Right

Under Section 177(1)(f) of the Companies (Winding Up and Miscellaneous Provisions) Ordinance, a company may be wound up by the court, upon the application of a minority shareholder, if the court is of opinion that it is just and equitable to do so. Minority shareholders may exercise this right when a company is experiencing financial […]

Shareholders Are Able To Bring Actions And Seek Remedies On Behalf Of The Company – Derivative Actions

Statutory remedies: Part 14, Division 4 of the Companies Ordinance (Cap 622), provides statutory derivative action as remedy for aggrieved minority shareholders. If any misconduct is committed against a company but the company itself does not institute the proceedings, then a shareholder of the company may bring proceedings on behalf of the company before the […]

Shareholder Annual General Meeting

All limited companies need to conduct an Annual General Meeting (AGM) in each financial year, subjected to some limited exceptions. For private companies, an AGM shall be conducted within 9 months after the end of accounting reference period. for public companies, it’s 6 months. Before conducting any General Meeting or Annual General Meeting, a notice […]

Shareholders agreement

A separate contract between members in a private company to govern how they will exercise their rights in the company. Which is enforceable between the members who are parties to such an agreement. Such agreement is a supplement the company’s articles, but not form part of the company’s constitution. Such an agreement will not be […]