Re Holders’ Investment Trusts [1971] 1 W.L.R. 583
Country:
United Kingdom
Trustees held majority of preference shares in a company, and all of the ordinary shares. Proposed to convert preference shares into loan stock (leading to a reduction in capital).
Was clear that when making proposition, they were acting entirely on basis of what was in interests of trust (as they were obliged to).
Held
Clear that trustees had not even applied their mind to question of what was in interests of preference shareholders as a class
Thus consent to variation given by preference shareholders invalid.
Any comments or edits about this case?
Get in touch
Claim every advantage to get a first in law
- 'Oxbridge Notes' prizewinning note marketplace has been serving students since 2010 with premium study materials
- Reap the benefits of joined-up learning and earn higher grades, just like our 75,000+ happy customers.
Premium study materials available for review
Company Law
Company law notes fully updated for recent exams in the UK. These no...
1083 purchased
805
pages
Similar cases
Brown v British Abrasive Wheel Co
Company needed urgent capital. Shareholders, holding 98% of shares, were willing to put money up on condition that they could buy out remaining 2% of shareholders. Majority proposed special resolutio...
Mills v Mills
Directors voted to pay out profits of a company in form of bonus shares to ordinary shareholders (instead of dividends). As result, voting power of preference shareholders was severely diminished. Cl...
Right and Issue Investment Trust Ltd v Stylo Shoes Ltd
Company issued new shares. To ensure continuity of management, was decided to double voting rights on shares owned by managers so that they retained same degree of control. Resolution was challenged....
Howard Smith v Ampol Petroleum
Company was subject to rival takeover bids from two of its shareholders. One bidder had 55% of shares, but was clear that the other offer was better for company. Thus directors of company allotted $1...
Hogg v Cramphorn
In corporate governance, directors are guided by fiduciary duties to prioritize the company's best interests. This involves strategic decisions like issuing shares and lending money to maintain contr...
Related product samples
Need instant answers? Our
AI exam tutor is here to help.
Our AI is educated by the highest scoring students across
all subjects and schools. Join hundreds of your peers today.
Ambitious and intelligent students
choose Oxbridge Notes.
- Customer Support
- Sellers FAQ
- Contact Us
- Privacy Policy
- Terms and Conditions
©2024 Oxbridge Notes. All right reserved.