Shareholder actions

Shareholder actions - Insepection rights want shareholders...

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Insepection rights want shareholders w/ legit interest to use shareholder list for legit proxy issues don’t want them to be used to to get secret info or improper purposes…improper denial burden is on shareholder to prove proper purpose and sue in chancery court Attempts to investigate misconduct, but courts won’t allow fishing expedition (must have factual basis first) Collecting info relevant to valuation of share Tender offers Communicating w/ fellow shareholders for proxy Improper Proprietary info searching Strike suit Pursue one’s own political agenda If something is deemed to be solicitation SEC requires disclosure and info that allow shareholder to make informed vote (bio info, compensation, relation b/t firm and officers, etc) Proxy contests Must deliver proxy statement and register w/ SEC before any solicitation Levin v MGM Rosenfeld v Fairchild Engine May reimburse incumbants win or lose. JJ Case v Borok Shareholder actions: Proxy forms: Mills v Electric Auto lite o. Petitioners were shareholders of electric auto lite company was merged in 1963 into Mergenthaler co. shareholders sued day before shareholder meeting where they were to vote on merger of autolite, Mergenthaler, and American manufacturing co. wanted injunction against
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This note was uploaded on 10/18/2011 for the course LAW 700 taught by Professor Kim during the Spring '10 term at USC.

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Shareholder actions - Insepection rights want shareholders...

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