Company Law

Running Head : Company Law[Name of Author][University /Institution]Company LawIn the case of Samantha , it can be said that her right was violated Holding 5 share to a conjunction is something that entitles a person to several responsibilities and as well as rights and liabilities Therefore , as a element and stockholder of the community , Samantha has the right to know what is happening internal the company , as a shareholder especially in matters that involve ratiocination makingFirst and foremost , it is Samantha s right to know and compact part of the company s endings . A large amount of the company s asset was at stake therefore , every shareholder must be well informed and consulted . In these cases , a meeting among shareholders and add-in should be made However , in Samantha s case , she was not even aware of such stopping point was made and if there even was a meeting make regarding the matter . She only knew about the plan after the decision was madeThe decision made by the Filo Ltd . to purchase ?450 ,000 worth of set forth from Pastry Products Ltd was solely made by two persons Richard and Anthony who both(prenominal) own 22 shares in the said company . Upon world uninformed regarding the decision of the mesa , the board was also inefficient to support their decisions that the said action was necessary for the whole company . Since Samantha was not part of the board and therefore not authorize to make such decisions , being a shareholder , she deserves an commentary on issues of which she found question competent Samantha deserves an explanation but the board itself was unable justify their decision . thence , it creates a archetype that the decision was indeed to benefit the shareholders Richard and Anthony as well as Pastry Products Ltd rather than Filo Ltd .

Thus , there is a spectacular chance that there had been conspiracy within the companyOn the other make it , there is less that Samantha can do since she was not a member of the board like Anthony and Richard . Indeed , she has a 5 share to the company which can be considered a necessary for the company . However , the ones who are really responsible in decision making was the board of which Samantha was not included . Thus , it is only the responsibility of the board to inform Samantha about the decision and to answer her questions if she has doubt about the decision , something that the board was unable to do . The board should be able to justify their decisions and submit proofs for the necessity of the decision otherwise , it could lead to decision that the members of the board are not capable to handle the company and hence , must be replacedAnother factor that is to be considered is that Richard and Anthony hold 26 share to the company which companies , every shareholders is entitled a atomic number 53 vote count in which the majority of persons are able to make the decisions in the company If this is the...If you want to get a full essay, order it on our website: Ordercustompaper.com

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