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Under what circumstances can individual shareholders bring action against the company for breach of duty by directors and majority shareholders?
  • a)
    If the breach of duty is in line with the company's articles of association.
  • b)
    If the breach of duty leads to the company incurring significant losses.
  • c)
    If the breach of duty is done with the consent of the majority shareholders.
  • d)
    If the breach of duty harms the company due to mismanagement.
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
Under what circumstances can individual shareholders bring action agai...
Individual shareholders can bring action against the company for breach of duty by directors and majority shareholders when the breach of duty harms the company due to mismanagement. This provision allows shareholders, particularly minority shareholders, to seek legal remedies when the actions of the majority and directors negatively impact the company's performance and well-being.
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Under what circumstances can individual shareholders bring action against the company for breach of duty by directors and majority shareholders?a)If the breach of duty is in line with the company's articles of association.b)If the breach of duty leads to the company incurring significant losses.c)If the breach of duty is done with the consent of the majority shareholders.d)If the breach of duty harms the company due to mismanagement.Correct answer is option 'D'. Can you explain this answer?
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Under what circumstances can individual shareholders bring action against the company for breach of duty by directors and majority shareholders?a)If the breach of duty is in line with the company's articles of association.b)If the breach of duty leads to the company incurring significant losses.c)If the breach of duty is done with the consent of the majority shareholders.d)If the breach of duty harms the company due to mismanagement.Correct answer is option 'D'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Under what circumstances can individual shareholders bring action against the company for breach of duty by directors and majority shareholders?a)If the breach of duty is in line with the company's articles of association.b)If the breach of duty leads to the company incurring significant losses.c)If the breach of duty is done with the consent of the majority shareholders.d)If the breach of duty harms the company due to mismanagement.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Under what circumstances can individual shareholders bring action against the company for breach of duty by directors and majority shareholders?a)If the breach of duty is in line with the company's articles of association.b)If the breach of duty leads to the company incurring significant losses.c)If the breach of duty is done with the consent of the majority shareholders.d)If the breach of duty harms the company due to mismanagement.Correct answer is option 'D'. Can you explain this answer?.
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