BLAW20001 Lecture Notes - Lecture 7: Retained Earnings, Oppression Remedy, Unanimous Consent

• School: University of Melbourne
• Department: Business Law
• Course: BLAW20001
• Professor: All

Document Summary

How does the law allocate decision-making power: power to make decisions is divided between the company"s two organs, the members voting together - called the company in general meeting . By resolution - shareholders acting together: the board of directors: the board , the directors . In a small company, the people who are on the board are often also shareholders. No, than can only do it in their capacity as shareholders, not director - consider the capacity as shareholder/ director: division of powers depends on: Company law cases: decision-making law is designed to maximise transparency and accountability. Important principles regarding management structure: the board of directors, and the members in general meeting, is each an organ of the company, each organ of the company has a power to make particular decisions. Debt, equity and retained earnings are the three main sources of capital: constitutional decisions: relate to internal arrangements that provide for administration and govern the relationship between participants.