Exit rights of minority shareholders in a private limited company
Einde inhoudsopgave
Exit rights of minority shareholders in a private limited company (IVOR nr. 72) 2010/1.2.2:1.2.2 Winding-up remedies
Exit rights of minority shareholders in a private limited company (IVOR nr. 72) 2010/1.2.2
1.2.2 Winding-up remedies
Documentgegevens:
mr. dr. P.P. de Vries, datum 03-05-2010
- Datum
03-05-2010
- Auteur
mr. dr. P.P. de Vries
- JCDI
JCDI:ADS402961:1
- Vakgebied(en)
Ondernemingsrecht (V)
Toon alle voetnoten
Voetnoten
Voetnoten
In a similar vein: Kraakman et al. (2009), p. 161-162.
Deze functie is alleen te gebruiken als je bent ingelogd.
By means of a winding-up remedy, a shareholder may request the court to order the winding up of a company, leading to the dissolution and liquidation of the company. The liquidation surplus is usually divided pro rata between the shareholders of the dissolved company. In order to obtain an order for the winding up of the company, a shareholder must state and prove that the grounds on which the remedy is based are present.
As a rule, the grounds of a winding-up remedy are highly restrictive, because of its harsh impact. Legislators and courts habitually prefer to protect the continuation of the company. Consequently, in most jurisdictions, this sledgehammer remedy will only be applied if less drastic solutions are not available, such as by way of application of the oppression remedy.1 The winding-up remedy is therefore a remedy of last resort.