Question
Just need help with the question below please Question C3PO Ltd ('C3PO') is an unlisted company, with a constitution that mirrors the (replaceable) rule in
Just need help with the question below please
Question
C3PO Ltd ('C3PO') is an unlisted company, with a constitution that mirrors the (replaceable) rule in s198A of the Corporations Act. Bella is a minority shareholder of C3PO, owning 6% of C3PO's shares. Bella believes that C3PO's board is negotiating to off one of C3PO's most significant assets - a shopping complex in outer Melbourne. Bella is upset about this. The market for retail property is currently very low due to COVID-19 and the resulting slow-down of trade in shopping centres. C3PO's board intends for C3PO to make a quick sale of the shopping complex; they have indicated their intention to sell C3PO's shopping complex in the current low property market prices. Bella wants the board to delay the sale, as property prices are predicted to rise by 30% within six months' time. Bella strongly believes that the Board Carla is not maximising returns for C3PO, and thereby causing a decrease in her share value. She has tried to sell her shares in C3PO, but she cannot find an interested buyer.
A. Discuss any action that Frank can take to ensure a general meeting is held for Aywon's shareholders to question Carla's strategy and to vote on a resolution directing Carla to delay the sale of the company's shopping complex by six months. (7 marks)
B. Discuss any further legal action Carla can take to obtain remedies for herself under the Corporations Act 2001. (7 marks)
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