Which of the Following Can Result in a Loss of Control

question 2

Multiple Choice

Which of the following can result in a loss of control by a parent over a subsidiary?

• A) The parent sells some of the shares in the subsidiary.
• B) There is a change in the dispersion in the holding of shares by entities comprising the NCI.
• C) There may be a change in a contractual arrangement.
• D) All of the above.

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Definitions:

Clearly Erroneous

A standard for review indicating that a decision was obviously incorrect or mistaken, often used in legal contexts.

Arbitration

A method of dispute resolution involving a neutral third party who makes a binding decision to resolve a dispute between two parties.

Complaint

The pleading made by a plaintiff alleging wrongdoing on the part of the defendant; the document that, when filed with a court, initiates a lawsuit.

Court

A governmental institution authorized to resolve legal disputes, enforce laws, and issue judgments.