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It depends, if I start a company and offer a share contract where I am the BDFL(Benevolent Dictator For Life) of the company, then any shareholder purchasing th
by splintercell 10y ago
It depends, if I start a company and offer a share contract where I am the BDFL(Benevolent Dictator For Life) of the company, then any shareholder purchasing the stocks is buying it by agreeing to that term.
Sure the shares will not reach as high of a valuation as they would if shares didn't come with this condition, but there is no claim whatsoever that somehow shareholders somehow gain more power over the company than what they agreed to when purchasing the shares.
- beejiu 10y agoI'm not a lawyer, but I strongly suspect you have a fiduciary duty to all shareholders. If you are director-shareholder, you cannot act in the interests of your shareholding alone. Also, the idea that you can put any condition into a contract is naive. Many such conditions are legally unenforceable because they are incompatible with the corporate law framework.