Question
Jen is a Class A minority shareholder of Tasty Treats Pty Ltd (known as TT). Jen isconcerned that despite record profits, TT has not paid
Jen is a Class A minority shareholder of Tasty Treats Pty Ltd (known as TT). Jen isconcerned that despite record profits, TT has not paid out any dividends to Class A shareholders for 5 years.Class B shareholders have received dividends and the directors regularly pay themselves large bonuses.Further, a clause in TT's constitution states that the company will always buy its onions from Jen who grows them organically.The company is now buying them from another source.
REQUIRED:Advise Jen on the following matter:
Whether she can enforce the onion clause in the constitution against the company.
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