Our Dispute Resolution lawyers defended a client (company) against shareholder’s claim. A shareholder of the company challenged the General Meeting of Shareholders of the company and the resolutions adopted during the meeting (including the resolution on the election of a new board).
One of the claimant‘s main arguments was that there was no quorum at the meeting as the meeting was not attended by the claimant‘s representative. It was argued that in 2017 the claimant signed an agreement of transfer of voting rights, by which all 60% of the claimant’s votes were transferred to the representative.
In this case, the court relied on the ruling of the Supreme Court of Lithuania adopted in May of this year in another similar case initiated by the same shareholder. The Supreme Court of Lithuania stated that an earlier agreement on the transfer of voting rights which had been concluded in 2012 was still in force during the General Meeting of Shareholders, therefore the other shareholder had 75% of the votes.
We are glad that we helped the client to defend its interests and ensured the legitimacy of the resolutions adopted by the General Meeting of Shareholders in the marathon of legal disputes.