Voiting Rights Followed Entry on Company Registerr
Parties had agreed to transfer shares in a small family company for the payment of a sum of money by way of instalments over a period of time. The agreement provided the transfers of the shares should be executed and that the executed transfers and relevant share certificates should be deposited with the company solicitors until payment had been made in full. The transferor remained on the company’s register of members as the holder of the shares. The question arose as to the rights of the transferor to vote at the annual general meeting prior to the final payment with respect to the shares.
Held: A partly paid vendor of shares remaining on the register of members after the execution of the contract for sale retained the voting rights.
Russell J
[1962] Ch 964
England and Wales
Cited by:
Cited – Englewood Properties Limited v Patel and Another ChD 16-Feb-2005
The claimant was a property developer, which sought to sell a row of shops at auction. One lot was a Woolworths store, where the company owned both freehold and leasehold interests, with Woolworths occupying an underlease, which the claimant had . .
Followed – JRRT (Investments) v Haycraft ChD 1993
A purchaser of shares (under an inept agreement) raised a summons under RSC O.14A with the single issue of whether the purchaser was entitled to direct the vendor to vote the shares. . .
Lists of cited by and citing cases may be incomplete.
Contract, Company
Leading Case
Updated: 20 November 2021; Ref: scu.223744
