Two Security Services, A-To-Z Security and Secure-Safe Security, Propose to Merge

question 56

Essay

Two security services, A-to-Z Security and Secure-Safe Security, propose to merge. Each corporation has fewer than 10 shareholders. The proposed merger receives majority shareholder approval. Roberto, a minority shareholder who owns 10% of the stock in Secure-Safe Security, however, is very much opposed to the merger. He tells the other Secure-Safe shareholders that unless they convince him otherwise, he will block the merger. What are Roberto's rights as a dissenting shareholder, and does he have the power to block the merger?

---

Definitions:

FTC Act

The Federal Trade Commission Act, a law established to prevent unfair business practices and protect consumers by promoting competition.

Deceptive Omissions

The act of intentionally withholding or concealing important information, leading to misrepresentation or fraud.

Exaggerated Sales Talk

Promotional statements and claims that stretch the truth or embellish the virtues of a product or service beyond reasonable limits.

Misleading Claims

False or deceptive statements made, especially in advertising or marketing, that can misguide consumers regarding the true nature or benefits of a product or service.