WK 9 Meetings and Members right (shareholder rights)

-Shareholders are consumers

-The right the shareholder has (personal)

-The company wont exercise these rights but

the shareholders want too

-In Foss, there was a group of shareholders

who thought the company wasn't doing what
it should. Shareholders went to the court, the
court ruled in favour of the company (not
shareholders). ie shareholders elected
directors and should stick by them

-s236(3) means that statute law

abolishes general law in derivative
law (exam only statutory)
-s236 means shareholders have the
right to bring proceedings on behalf
of the company
-In order to bring proceeding s237
must be satisfied
-Last one: shareholders must show
that the BJR does not apply (ie
company acting irresponsibly)

-Shareholders also have personal rights

-s140: shareholders can enforce the

replaceable rights/constitution

-Procedural aren't that important

-There are shareholders main rights

-When there is a breach/likely

breach of corps act, a member can
apply for a injunction (ie stop them
selling a asset)
-s232 if shareholder is oppressed or
unfairly discriminated they are
entitled to bring proceedings
against the company
-s233 focuses on the outcomes from the proceedings (orders)
-s232 is often used by minority shareholders
(to bring proceedings) because majority
shareholders can vote directors out
-Wayde: reduce number of teams in
competition (minority shareholder is
oppressed ie 1/12 teams kicked out) "was
this a reasonable decision that reasonable
director would be made"
-Use case to further reinforce oppression

^Not every shareholder attends meetings (usually two people are there)