shareholder

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shareholder

n. the owner of one or more shares of stock in a corporation, commonly also called a "stockholder." The benefits of being a shareholder include receiving dividends for each share as determined by the Board of Directors, the right to vote (except for certain preferred shares) for members of the board of directors, to bring a derivative action (lawsuit) if the corporation is poorly managed, and to participate in the division of value of assets upon dissolution and winding up of the corporation, if there is any value. A shareholder should have his/her name registered with the corporation, but may hold a stock certificate which has been signed over to him/her. Before registration the new shareholder may not be able to cast votes represented by the shares. (See: corporation, shareholders' meeting)

shareholder

noun investor, owner, property owner, stockholder, stockholder of record, stockowner
Associated concepts: shareholder action, shareholder's derivative suit
See also: contributor, member, participant

shareholder

see SHARES.
References in periodicals archive ?
Avoid the Double Level of Taxation to a C Corp By Having Part of the Purchase Price Paid to the Selling Shareholders as Compensation or as Payment for a Covenant Not to Compete.
Because shareholders have demonstrated they have had no power in the past, the SEC (Securities and Exchange Commission) and stock exchanges were more open to adopting stricter governance rules, including a proposal that might allow shareholders to nominate some board members directly," says Bowie.
Shareholders run into problems when they have reduced or depleted their debt basis and the corporation repays any part of a shareholder loan.
Monsanto shareholders have asked that company to disclose its policies for exporting potentially carcinogenic pesticides that are banned in the United States to developing countries, and describe potential liabilities associated with the sale of genetically modified (GM) plants.
As Monks discovered in his run for a board seat at Sears in 1991, it's expensive, difficult and personally risky for shareholders to challenge CEO power, even when the CEO is running a company into the ground.
They decided to assert their rights as shareholders and get companies to shape-up.
367(b)-3, in the case of shareholders whose stock in the foreign acquired corporation, i.
3 of the Spanish Corporations Law ("Ley de Sociedades Anonimas"), shareholders who represent at least five percent of the capital stock may request that a supplement to this meeting notice be published, including one or more items on the Agenda for the General Meeting.
One of the consistent problems with an ESBT is that all potential current beneficiaries (PCB) are counted as separate shareholders (i.
The sudden and total collapse of the seventh-largest company in the United States will forever change the way shareholders look at corporate boards," says Pat McGurn, director of corporate programs for Institutional Shareholder Services in Rockville, Md.
THE PRACTITIONER SHOULD ADVISE the client to terminate employment and noncompete agreements with shareholders before liquidation.