Cases where there is a right to request the cancellation of a resolution of the General Meeting of Shareholders

Article overview

The cancellation of a resolution of the General Meeting of Shareholders is an important right of shareholders, helping to protect the rights and fairness of the company’s operations. Understanding the cases where they have the right to request cancellation not only helps shareholders confidently participate in the management process but also ensures that the decisions of the General Meeting of Shareholders always reflect the will and common interests. of all shareholders. Next, let’s join Long Phan to learn about the cases in which you have the right to request the cancellation of a resolution of the General Meeting of Shareholders.

Cases in which there is a right to request the cancellation of a resolution of the General Meeting of Shareholders
Cases in which there is a right to request the cancellation of a resolution of the General Meeting of Shareholders

The subject has the right to request the cancellation of a resolution of the General Meeting of Shareholders

According to the provisions of Article 151 and Clause 2, Article 115 of the Law on Enterprise 2020, the subject has the right to request the cancellation of a resolution of the General Meeting of Shareholders (GMS) including shareholders or groups of shareholders owning from 5% of the total number of ordinary shares or more. In addition, if the company’s charter stipulates a lower rate, those shareholders or groups of shareholders also have the right to request cancellation.

This means that shareholders with sufficient ownership percentages will have the right to participate in important decisions regarding the cancellation of resolutions that they believe violate the provisions of law or the Company’s Charter. This regulation is intended to protect the interests of shareholders, ensuring that decisions made at the General Meeting of Shareholders must properly reflect the will and interests of shareholders.

The agency resolves requests the cancellation of a resolution of the General Meeting of Shareholders

According to the provisions of Article 151 of the Law on Enterprise 2020, the competent authority to resolve requests to cancel resolutions of the General Meeting of Shareholders (GMS) is the Court or Arbitration.

  • To the Court, shareholders or related parties can file a request for cancellation directly, and the Court will review the evidence to make a decision.
  • In the case of Arbitration, a request for annulment will only be considered if the parties have an arbitration agreement. This ensures that the dispute will be resolved according to the agreed process. Choosing the right resolution agency is very important to ensure shareholders’ rights.
Authority to resolve requests to cancel resolutions of the General Meeting of Shareholders
Authority to resolve requests to cancel resolutions of the General Meeting of Shareholders

In some cases, you have the right to request the cancellation of a resolution of the General Meeting of Shareholders

According to Article 151 of the Law on Enterprise 2020, shareholders have the right to request the cancellation of a resolution of the General Meeting of Shareholders in two main cases:

  • Firstly, when the order and procedures for convening meetings seriously violate the provisions of the Law and the company’s Charter. However, if the resolution is passed with 100% of the total voting shares, it is still considered legal.
  • Second, when the content of the resolution violates the law or the company’s charter. If the resolution does not comply with these regulations, shareholders have the right to request cancellation.

Thus, understanding these cases is necessary to protect rights and ensure transparency in company management.

The time limit for requesting cancellation of a resolution of the General Meeting of Shareholders

Pursuant to Article 151 of the Law on Enterprises 2020, subjects have the right to request the cancellation of a resolution of the General Meeting of Shareholders (GMS) within 90 days from the date of receipt of the resolution, minutes of the General Meeting of Shareholders or minutes. Results of counting votes for opinions of the General Meeting of Shareholders. This time limit is prescribed to ensure that shareholders and stakeholders have enough time to review and evaluate the legality of passed resolutions.

When can I request to cancel a resolution of the General Meeting of Shareholders?
When can I request to cancel a resolution of the General Meeting of Shareholders?

Consulting and support services for canceling resolutions of the General Meeting of Shareholders

At Long Phan, we provide consulting and support services for canceling GMS resolutions with diverse and effective solutions, including:

  • Consulting on detailed information about the right to request cancellation of resolutions according to the provisions of the Law on Enterprise 2020.
  • Detailed instructions on the process and procedures for requesting the cancellation of a resolution of the General Meeting of Shareholders.
  • Support the evaluation, review and analysis of resolutions to identify legal violations.
  • Assist in drafting necessary documents to request cancellation of the resolution.
  • Representing customers to carry out procedures and work with competent authorities.
  • Support tracking the progress of implementing cancellation decisions.

The right to request the cancellation of a resolution of the General Meeting of Shareholders is an important mechanism to protect the rights of shareholders and ensure transparency in the company’s operations. With Long Phan’s consulting and support services for canceling the resolutions of the General Meeting of Shareholders, we will bring you optimal solutions, helping to protect your rights and ensure fairness in company operations. Please contact us via the hotline 0906735386 to receive dedicated and professional support!