04 · Business & Corporate
Company & Shareholder Disputes
What this covers
- 01Oppression and mismanagement petitions
- 02Disputes over share transfers and allotments
- 03Removal and appointment of directors
- 04Rights of minority shareholders
- 05Deadlock in closely held companies
How it generally works
Under sections 241 and 242 of the Companies Act, 2013, shareholders meeting certain thresholds can petition the National Company Law Tribunal if the company's affairs are conducted in a manner oppressive to members or prejudicial to the company.
The Tribunal has wide powers, including regulating the company's affairs, ordering purchase of shares, and removing directors.
Shareholders' agreements and the company's articles of association are central to these disputes.
