Commentary

232.5 Position of dissenting member taking no action

COMPANIES vol 11 acquisitions, mergers, demergers
| Commentary

232.5 Position of dissenting member taking no action

| Commentary

232.5 Position of dissenting member taking no action

A dissenting member would be ill-advised to take no action. If he neither serves notice of dissent on the liquidator, nor applies to the court to restrain the sale, his position will be precarious. He cannot be compelled to take any shares or other interests in the new company under the scheme1, even though members of the original company have resolved that he shall do so2. If he does not take up those shares or interests, either they will belong to the original company and may be distributed among all its members,

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