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shareholders' agreement

   Also found in: Wikipedia 0.04 sec.

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.
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? References in periodicals archive
Abitibi-Consolidated, Montreal, Quebec, Canada, announced that, together with Norske Skog, the shareholders' agreement for PanAsia Paper Company has been revised following the exit of Hansol Paper from PanAsia in May 2001.
Abitibi-Consolidated by Solutions - for People, Processes and Paper
2703-1(a)(3) provides that such rights or restrictions may be found in partnership agreements, articles of incorporation, bylaws, shareholders' agreement or any other agreement, or may be implicit in the entity's capital structure.
... Buy-sell agreements and... by Gardner, John C. / The Tax Adviser
The agreement, which, upon closing, gives 3Com full ownership of H3C, was reached through a bid process established under the parties' existing shareholders' agreement that enabled either party to make cash bids to buy the other party's shares in H3C.
3Com to Buy Huawei's 49 Percent Stake in Huawei-3Com Joint Venture ... by Business Wire
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