Asked by connor Xiong on Jun 03, 2024
Verified
Under the Model Business Corporation Act (MBCA) ,shareholders have a qualified but not absolute right to inspect:
A) the articles of incorporation and bylaws.
B) an alphabetical listing of the shareholders entitled to notice of a meeting.
C) the number of shares owned by the shareholders.
D) shareholder minutes more than three years old.
Shareholder Minutes
Official records of the discussions and decisions made during shareholders' meetings of a corporation.
Model Business Corporation Act
A standardized legal framework intended to assist states in the United States in drafting laws that regulate the incorporation and operation of corporations.
Inspection Right
The legal ability to examine and review documents, records, or properties, typically in a business context.
- Comprehend the rights of shareholders, encompassing both preemptive rights and dissenters' rights, as delineated in the Model Business Corporation Act.
Verified Answer
AJ
Ahmed JawoanJun 10, 2024
Final Answer :
D
Explanation :
The Model Business Corporation Act (MBCA)grants shareholders an absolute right of inspection of an alphabetical listing of the shareholders entitled to notice of a meeting,including the number of shares owned.The MBCA also grants an absolute right of inspection of,among other things,the articles,bylaws,and minutes of shareholder meetings within the past three years.Shareholders have a qualified right to inspect other records,however.To inspect accounting records,board and committee minutes,and shareholder minutes more than three years old,a shareholder must make the demand in good faith and have a proper purpose.
Learning Objectives
- Comprehend the rights of shareholders, encompassing both preemptive rights and dissenters' rights, as delineated in the Model Business Corporation Act.