Rights & Remedies for Minority Shareholders

Introduction

This course covers the principal rights of minority shareholders and the means by which they might seek to articulate them. Alongside a review of the wider rights enjoyed by minority shareholders under the general law and the Companies Act 2006, particular focus will be given to unfair prejudice petitions and the statutory derivative action (including a review of recent case law in those areas).

In order to assist in anticipating potential 'counter-measures', the course will address strategic considerations not only from the perspective of a minority shareholder but also from the perspective of majority shareholders and the company. Emphasis will be given to the early identification of likely litigation outcomes and designing cost-effective means of securing appropriate relief, whether through litigation or through negotiation. Finally, the seminar will address drafting techniques that may be employed to pre-empt - or delimit - shareholder litigation.

A number of these issues will be explored practically, thorough the use of a hypothetical set of facts.

As well as experienced corporate litigators, the course is likely to benefit corporate lawyers who may be called upon to advise against a background of actual - or anticipated - disagreement between shareholders.

What You Will Learn

This course will cover the following:

• Unfair prejudice petitions and the statutory derivative action - general review and update
• Special cases - 'family companies', '50/50 companies' and listed companies
• Obtaining the relevant evidence
• Identifying likely litigation outcomes and devising strategies accordingly
• Making effective use of the pre-action stage and the early stages of litigation
• The role of the company in shareholder litigation
• Mechanisms for reducing the potential for shareholder litigation