Martin,Martina and Melvin are shareholders of Random Corporation.They each hold several hundred of the five thousand outstanding shares.The three enter into an agreement ensuring they will always vote against any attorney in a board of directors election,and vote against any plans to expand the corporation's business overseas.This agreement is:
A) an enforceable voting agreement.
B) valid as to the overseas expansion, but invalid with respect to an attorney's election to the board.
C) invalid, because any such voting agreement is against public policy, since it limits a shareholder's right to vote freely on all matters.
D) invalid, because the voting agreement is contrary to the best interests of the corporation.
E) valid, if the board of directors approves it.
Correct Answer:
Verified
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