Company Law

Comp some(prenominal) LawBanks fair tripe Ltd (BFGLNameSubjectDatePremium Glass Ltd (PGL ) has entered into an agreement with Banks Fine Glass Ltd (BFGL ) to sh atomic number 18 technologies and competencies with one an new(prenominal) with attachment to the fashion of fine glassw atomic number 18 . Along with this agreement is an ossification that gives PGL the advancedeousness to take in a expectation to position as field of force coach on BFGL s climb on . To solidify this accord , this planning was include in BFGL`s articles of crosstie . PGL used this right to stick out Sheila as a theatre director . During her term as director Sheila managed to lock horns with other members of the board , earning the ire of most of them . This has resulted in her removal as a director of BFGL . Due to the stress that erupted as a result of Sheila s appointment , BFGL has refused to consider any nominating addresss for director by PGL . BFGL s blatant refusal to consider PGL s nomination of Shahmeen for director because of the incident with Sheila is in danger of staining the agreement with PGL with disrespect of province (Ferran , 1999BFGL s hand refusal to consider PGL s nominations atomic number 18 obviously make out of vengeance for the incident with the previous appointee which was PGL s burn downdidate . In boycotting PGL s nomination , the people behind the management of BFGL unambiguous that they have giving to distrust PGL s judgment . In doing so , the other members of BFGL s board of directors are in rape of their duty by apparently influenceing on the takes of their group , careless(predicate) of the interests of the company Also the members of the board of BFGL are proposing the removal of the provision granting PGL s right to nominate a director from the articles of associatio nPGL holds 10 of shares in BFGL . As a share! holder , PGL has the right to protect its interest in the company .

As a shareholder , PGL is empower to take rights to its shares . That the board members are ask for the removal of PGL s voting rights in spite of the number of shares PGL has is a deliberate set of prejudice . Such in the boycott of PGL s nominations , the board s marriage offer to clean PGL of the right to nominate a candidate for forthwith is another deliberate act resulting in a breach of duty . With the decisions that the members of the board are making , it is clear that they are operating on the home of biased opinionsGiven the situation , PGL can try to exert reign over by two intend . The first is in uti lization the voting rights associated with the shares of stock PGL owns . up to now , since BFGL is now severe to overpower PGL by manipulating the board s decisions to go against PGL s nominations and trying to strip him of his voting privilege , PGL can go by federal agency of exiting via the market . By selling majority of PGL s shares , PGL publicly manifests discontentedness over the activities of BFGL s board (Ferran , 1999...If you want to look at a full essay, order it on our website: OrderEssay.net

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