Assume all the following facts can be proven. The directors of Abatole Ltd. held their last...
- Assume all the following facts can be proven. The directors of Abatole Ltd. held their last meeting on December 31 at 4:30 p.m., and it was conducted more like a party than a usual meeting. Nancy, a director, signed a contract to purchase land from Xenon Corp., of which Nancy is the sole shareholder. The directors also voted to issue more shares and sold them to 3 directors in order to give them voting control of the corporation.
Could a shareholder commence an action against Nancy? How? Explain. (4 marks)
Homework Answers
Share holders can take action against Nancy. Since all these has to be approved by the share holders through their voting right. Hence whatever has happened is illegal.
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Assume all the following facts can be proven. The directors of
Abatole Ltd. held their last...
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Answer the questions accordingly:
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