Solved

Martin,Martina and Melvin Are Shareholders of Random Corporation

Question 109

Multiple Choice

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:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents