Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Nganga is a member of Auto Motor Ltd, a small publishing company, holding 100 of its 500 shares; the other 400 shares are held by

Nganga is a member of Auto Motor Ltd, a small publishing company, holding 100 of its 500 shares; the other 400 shares are held by four other members. It has recently become apparent that Nganga has set up a rival business to Auto Motor Ltd and the other members have decided that he should be expelled from the company. To that end they propose to alter the articles of association to include a new power to 'require any member to transfer their shares for fair value to the other members upon the passing of a resolution so to do'. Required: Advise the parties concerned whether or not the proposed change to the articles is legally enforceable and whether or not it can be used to force Nganga to sell his shares

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Criminal Law Text Cases And Materials

Authors: Jonathan Herring

9th Edition

0198848471, 978-0198848479

More Books

Students also viewed these Law questions