shareholders' agreement

(redirected from Shareholder agreement)
Also found in: Wikipedia.

shareholders' agreement

n. an employment agreement among the shareholders of a small corporation permitting a shareholder to take a management position with the corporation without any claim of conflict of interest or self-dealing against the shareholder/manager. Such agreements are common when there are only three or four shareholders.

References in periodicals archive ?
Under the terms of the shareholder agreement between DOCOMO, TTSL and Tata Sons, DOCOMO exercised on July 7, 2014 its right (option) to request that a suitable buyer be found to purchase its TTSL shares for 50% of the acquired price, amounting to 72.
Doronin was injuncted by the English Court in his attempt to replace Amanresorts founder Adrian Zecha with his own personal appointee, in breach of the Company's shareholder agreement.
In fact, this is the very reason that a shareholder agreement is so important.
Vimpelcom's key Russian shareholder Altimo said in April it expected to scrap a 2009 shareholder agreement with Norway's Telenor to allow Sawiris roughly equal rights in Vimpelcom.
Norwegian group DnB NOR ASA (OSL: DNBNOR) has said that its board of directors has decided to start the evaluation period under the shareholder agreement regarding its loss-bringing 51/49 joint venture with German wholesale bank NordLB, Bank DnB NORD A/S.
In a similar situation, (38) a trust tried to transfer its shares to another trust, but the transfer was deemed null and void under a shareholder agreement.
After the signing of a shareholder agreement between the transport minister of Gabon and Royal Air Maroc President and GM Driss Benhima, the new carrier will begin operations at the end of the first quarter with a fleet of two aircraft, probably 737-700s.
Biehl's argument was based on (1) the presence of a shareholder agreement which required the losing party to pay the attorney's fees of the prevailing party in any suit due to a breach of the agreement and (2) the fact the lawsuit arose out of the taxpayer's former employment.
But these valuations discount the price heavily because 1) there is not a large market for the small holdings of individual shareholders without a controlling interest, 2) the regulations surrounding ownership qualifications of Sub S companies, and 3) due to restrictions imposed by shareholder agreements, since each Sub S company has its own shareholder agreement.
Nearly all those problems can be averted with the help of competent counsel and a simple, uncomplicated document known as a shareholder agreement, commonly known as a buy-sell agreement.
Protestants claim, however, that a proposed agreement ("Shareholder Agreement") between NYCE and certain Magic Line shareholders would constitute a form of unfair competition or would decrease competition to the extent that the Shareholder Agreement prevents these shareholders from joining Protestants or other regional networks in the Upper Midwest.
Very simply, a unanimous shareholder agreement is an agreement signed by each and every one of the persons who are shareholders on the date it is signed.