Shareholders' Agreement with Special Allocation of Dividends among Shareholders in a Close Corporation

 Shareholders' Agreement with Special Allocation of Dividends among Shareholders in a Close Corporation
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State:
Multi-State
Control #:
US-1085BG
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Description

A corporation whose shares are held by a single shareholder or a closely-knit group of shareholders (such as a family) is known as a close corporation. The shares of stock are not traded publicly. A shareholders' agreement may contain provisions relating to any phase of the affairs of a close corporation. Statutes often provide that the agreement may, as between the parties to the agreement, alter or waive the provisions of the general corporation law except those provisions that are specifically exempt from such alteration or waiver. A shareholders' agreement may not be altered or terminated except as provided by the agreement, or by all the parties, or by operation of law.

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