Exam 44: Shareholders Rights and Liabilities

Karen is attending the annual general meeting of shareholders of Express Corporation.Six directors are going to be elected from seventeen nominees during the meeting through straight voting.Karen owns 372 shares of Express.What is the maximum number of nominees Karen can vote for?

Under what circumstances can a shareholder have liability for corporate debts?

Which of the following corporate decisions requires an approval vote of the shareholders?

Amanda is a shareholder of Abec Corporation.She received an illegal dividend from Abec.Must she return that dividend to Abec?

A person who purports to act on behalf of a terminated corporation has the liability of a person acting for a corporation prior to its incorporation.

Under the Model Business Corporation Act (MBCA),how long is the ordinary proxy valid for voting?

Under the Model Nonprofit Corporation Act (MNCA),a quorum of 10 percent of the votes entitled to be cast on a matter is required for members to proceed further in a meeting.

Shareholders may bring a suit on behalf of the corporation against the CEO.Such a suit is generally called a(n)________ suit.

A ________ is a type of oppression by which only minority shareholders are forced the sell their shares.

Camm Corp.has 10,000,000 common shares outstanding.Its four directors are elected by cumulative voting.To elect one director,a shareholder must own at least:

If a shareholder's derivative action succeeds and damages are awarded,the damages ordinarily go to the:

For which of the following would a shareholder derivative action be appropriate?

After a merger,the first corporation remains liable for its debt.

If a shareholder receives a dividend with knowledge of it being an illegal distribution,the shareholder is liable to the corporation for the amount of the dividend.

A majority shareholder can sell her shares at a:

Minutes of the meetings are usually kept by the board of directors.

The formula for determining the minimum number of shares required to elect a desired number of directors under cumulative voting is ________ where X = number of shares needed to elect the desired number of directors,S = total number of shares voting at the shareholders' meeting,R = number of director representatives desired,and D = total number of directors to be elected at the meeting.

The Model Business Corporation Act (MBCA)does not recognize:

The per share value of the shares of a minority shareholder of a corporation is greater than the per share value of the shares of a majority shareholder.

Distributions of a corporation's assets received by a shareholder with knowledge of their illegality may be recovered on behalf of the corporation.