Shareholders’ agreements 17 Aug 2015

If you’re working in a company in which you own shares, do you have an agreement with your co- shareholders? These are called shareholders’ agreements.

A and B worked together in a panel-beating business. A died suddenly, leaving everything to his wife, so she became the new shareholder. B didn’t like Mrs A and wanted to buy her out but they couldn’t agree on a price. Mrs A took advice and became difficult to deal with.

Your shareholders’ agreement should provide a way for shareholders to sell their shares if they want to get out of the business. Your solicitor will be able to list other things you should consider. 

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