What is the supramajority voting requirement for shareholders?
What will be an ideal response?
The articles of incorporation or the bylaws of a corporation can require a greater than majority of the shares to constitute a quorum of the vote of the shareholders. This is called a supramajority voting requirement, or supermajority voting requirement. Such votes are often required to approve mergers, consolidation, the sale of substantially all the assets of a corporation, and such. To add a supramajority voting requirement, the amendment must be adopted by the number of shares of the proposed increase. For example, increasing a majority voting requirement to an 80 percent supramajority voting requirement would require an 80 percent affirmative vote.
You might also like to view...
The organized network that moves a product from the producer to the customer is known as the ________
A) marketing elasticity B) distribution channel C) captured value D) promotion E) marketing mix
In IFRS, "probable" as recognition criterion for liabilities with uncertain amount and/or timing means "more likely than not"—approximately 51%
Indicate whether the statement is true or false