Under What Circumstances Can a Dissenting Group of Shareholders Recover

question 46

Multiple Choice

Under what circumstances can a dissenting group of shareholders recover from the corporation the costs it incurs in a proxy contest?

• A) under all circumstances
• B) in all proxy contests the dissenting group wins
• C) in a proxy contest involving an issue of policy, even if the dissenting group does not win the proxy contest
• D) in all proxy contests involving issues of policy, and in the case of contests concerning personal matters, if the dissenting group wins
• E) in a proxy contest involving an issue of policy that the dissenting group wins, but never for a contest involving a personal issue

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Definitions:

U.S. Government Securities

Financial instruments issued by the United States Department of the Treasury to finance federal government spending.

Clear

in an economic or financial context often means to settle a transaction or complete a trade or payment process.

Federal Reserve's Assets

These are financial assets held by the Federal Reserve Bank, including government securities, mortgage-backed securities, and loans to banks.

Excess Reserves

The capital reserves held by a bank or financial institution in excess of what is required by regulators, creditors, or internal controls.