California Article 13 - Dissenters' Rights
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How to fill out Article 13 - Dissenters' Rights?
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FAQ
In general, dissenters' rights are rights granted to shareholders to require the corporation to buy their shares for cash at an agreed upon price, or if they and the corporation fail to agree, at an appraised price.
Section 1300 - Purchase of dissenting shares (a)If the approval of the outstanding shares (Section 152) of a corporation is required for a reorganization under subdivisions (a) and (b) or subdivision (e) or (f) of Section 1201, each shareholder of the corporation entitled to vote on the transaction and each shareholder ...
An appraisal right is the statutory right of a corporation's shareholders to have a judicial proceeding or independent valuator determine a fair stock price and oblige the acquiring corporation to purchase shares at that price.
Dissenters' rights are guaranteed under state corporate law. When a dissenting shareholder disagrees with a firm's actions, they can exercise appraisal rights; appraising their shares, and being paid the fair market value for them. Dissenters' rights provide an easy way out of a company for a shareholder.
(2) Prompt notice shall be given of the taking of any other corporate action approved by shareholders without a meeting by less than unanimous written consent, to those shareholders entitled to vote who have not consented in writing. Notice shall be given as provided in subdivision (b) of Section 601.
