Shareholder Rights Resolution Challenge

Summary

Ali, a shareholder, can challenge a resolution under the Malaysian Companies Act 2016 if it is oppressive, unfairly discriminatory, or prejudicial. Sections 346 and 347 allow shareholders to apply to the court for relief if the resolution is deemed unfair. Ali may seek to challenge the resolution or seek compensation if it results in damages.

Full Conversation

ABC Sdn Bhd recently passed a resolution to remove enhanced voting rights given to the founders of the company. More than *% of the members voted in favour of the resolution in an AGM. Ali being one of the affected shareholders is not happy with the resolution as his voting power is now reduced as other new shareholders. Advise Ali as to his rights under the Company Act *.
Hi Gen! Under the Malaysian Companies Act *, Ali might have the following rights:
- Challenge the Resolution: Ali can apply to the court to challenge the resolution if he believes it is oppressive, unfairly discriminatory, or prejudicial to him.
- Seek Compensation: If the resolution results in damages, Ali might seek compensation.
Which area would you like more information on?
what the application of law
Under the Malaysian Companies Act *, the relevant sections for Ali's situation include:
- Section *: Allows shareholders to challenge resolutions that are oppressive, unfairly discriminatory, or prejudicial.
- Section *: Provides the court with the power to grant relief if the resolution is found to be unfair.
Would you like more details on any specific section?
for the related section?
For Ali's situation under the Malaysian Companies Act *, the relevant sections are:
- Section *: Shareholders can challenge resolutions that are oppressive, unfairly discriminatory, or prejudicial.
- Section *: The court can grant relief if the resolution is found to be unfair.
Would you like to know more about how to initiate a court challenge or the types of relief available?