Shareholders Agreements
Although its necessity is often disregarded, the shareholders' agreement is a fundamental tool in governing the relations of the shareholders between themselves and with the corporation. By setting straight the rules from the outset, a carefully drafted shareholders' agreement helps resolving and attenuating future conflicts between shareholders. A shareholders' agreement typically institutes contractual mechanisms to:
- Insure the continuing proportionality of shareholding between individual shareholders;
- Maintain the "closed" character of the corporation by preventing third parties from acquiring shares without the agreement of the other shareholders;
- Protect the interests of minority shareholders;
- Provide rules for conflict resolution.
When the shareholders' agreement is unanimous, it may also serve to limit the powers of the board of directors, putting control of the corporation more directly within the hands of the shareholders.
Due to the variety of tools available and to the widely different structure from one individual corporation to the other, an adequate shareholders' agreement must be tailor-made for any particular group of shareholders. While drafting a shareholders' agreement or during its negotiation, the lawyers of Lecours, Hébert place their legal and business acumen at your disposal to make sure that the results will fulfill your needs and those of your business.