In a recent case concerning Giacintoco Holdings Limited (Petition 483/19 of 18 November 2019) the Limassol District Court ruled that minority shareholders may file an oppression of minority petition irrespective of whether the underlying company had a positive value for making distributions to shareholders in the event of a winding up.

The court's position differs from previous first-instance judgments in which such petitions were rejected for lack of locus standi by relying on the conditions set out for promoting a winding-up petition on the grounds that it is just and equitable to do so.

While the ruling is a first-instance judgment and carries no precedential value, it nevertheless relies on undisputed common law principles and contains solid reasoning. As such, the ruling sets the record straight with regard to petitioners' locus standi to promote oppression of minority petitions in the event of a winding up.