| Commentary

98.1 The parties’ expectations

| Commentary

98 Other shortcomings of standard company articles

98.1 The parties’ expectations

It remains to be seen whether the new powers under the Companies Act 2006, allowing a limited company to entrench certain of its articles1 will provide any real protection in practice for a minority shareholder against unwanted changes in the company’s constitution. In any event, it is not just in relation to changes in the company’s constitution that standard company articles may be found wanting. In a typical private limited company, the participants will also want clear provisions setting out:

  1. 98.1.1

        how much each party is to invest initially in

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