The Legal Environment of Business: Text and Cases
9th Edition
ISBN: 9781305764460
Author: Frank B Cross/ Roger LeRoy Miller
Publisher: CENGAGE C
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Chapter 18, Problem 2IS
Summary Introduction
Case summary: Person N is a majority shareholder in company OC. The sale of the shares of person N will result in a transfer of the right of control of the corporation.
To find: The duty that is owed by majority shareholders towards the minority shareholders of the company.
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Students have asked these similar questions
Explain in details why Directors have a duty of loyalty to the company and must avoid conflicts of interest. Link it to the 2006 company act.
The board of directors of Northshore plc decided to make a takeover bid for South Shore plc. After the decision was taken, but before it was announced the following chain of events occurred:
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White in turn passes on the information to his friend Green who also buys shares in South Shore
Green tells his friend Grey about the information, and he too buys shares in South Shore
At a dinner party Blue, without telling him about the takeover proposal, advises his brother Tom to buy shares in South Shore and Tom does so.
Questions:
Explain the Fiduciary duties of Directors and their relevance.
Based on your knowledge of the Director’s duties and powers, explain whether the parties are guilty in each chain of events or the implications.
What does the term "Affiliated Party mean?
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Any person who has the authority to bind the insurer to the risk of being assumed without requiring a bone or appointment
Every group, association or other organization that prepares policy forms and makes underwriting rules axikvit to the setting of rates and underwing clos
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The Legal Environment of Business: Text and Cases
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