Question
the constitution of SAFPL allows for the directors to pay a dividend to holders of A Class shares at their descretion. Over many years the
the constitution of SAFPL allows for the directors to pay a dividend to holders of A Class shares at their descretion. Over many years the company had paid a dividend which, although not sizeable, was sufficient for the shareholders who chose to do so to live on it. However, david and his siblings are angry about the discontent that jason has been stirring up among the henry grandchildren, some of whom they see as lazy and underserving. So the board of SAFPL resolves not to pay a dividend to the A Class shareholders this year and, instead, to retain earnings to fund the development of the organic farm in the riverina. what action, if any, can the henry grandchildren take in respect of non-payment of the dividend?
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