51% shareholder

[Hasslehoff]

Hi

Example: a company has five shareholders A has 51 % and B,C,D,E all have 12.5% each.

All five are also Directors, but A is being oppressive and troublesome towards the other four Directors.

What action can the four Directors take to reduce A's power within the limited company. I have been told that at a Board meeting A could be voted off the board and denied a directorship therefore leaving the company to run smooth , but would this make a difference if A has 51% ?

 

[ClubMan]

Example: a company has five shareholders A has 51 % and B,C,D,E all have 12.5% each.

That's 101%!

 

[Hasslehoff]

Sorry should have been 12.25%

 

[ClubMan]

Fair enough - just thought you might have been hitting the "sleeping XXXXXXXXXXXXXXXXXXXX" !

 

[jpd]

That depends on the company's Articles of Association wherein are defined the rules by which the company is governed, and i n particular the rights and duties of the directors.