The Statutory Close Corporation Supplement to the MBCA and RMBCA and special legislation in about twenty states accommodate the needs of closely held corporations by all but which of the following?
A) Permitting operation without a board of directors
B) Authorizing the use of shareholder agreements in place of bylaws
C) Requiring cumulative voting
D) Making annual meetings optional

Question

Quizplus · Accepted Answer

The Statutory Close Corporation Supplement to the MBCA and RMBCA and special legislation in about twenty states accommodate the needs of closely held corporations by permitting operation without a board of directors, authorizing the use of shareholder agreements in place of bylaws, and making annual meetings optional. However, they do not require cumulative voting, which would allow minority shareholders to have greater influence in the election of directors.