Explain appraisal rights

What will be an ideal response?

Corporate law, securities regulations, or stock exchange rules often grant minority shareholders appraisal rights or rights to minimum guaranteed dividends. Appraisal rights are the rights of a dissenting shareholder to require the company to purchase his or her shares at their fair market value. Under German law, for instance, minority shareholders can exercise their appraisal rights whenever a subsidiary enters into a special contract of domination with its parent involving, for example, a transfer of profits. Alternatively, they can demand adequate compensation for their investment in the form of guaranteed minimum dividends.