The bill on shareholders rights became law on 1 July 2010.The bill introduces significant changes including:
- the deadline for giving notice of a general meeting is 42 days before the meeting (previously, 15 days);
- a mandatory record date is fixed at 28 days before the general meeting (previously this was flexible subject to a maximum of 30 days);
- notice of the general meeting can be given via the company’s website;
- a request of a shareholder for an item to be included on the agenda of a general meeting needs to be substantiated. Under the new law, the company may no longer deny the request on the basis of an overriding interest. However, principles of reasonableness and fairness may still allow the company to refuse the request in special circumstances.
For more information see our Legal Alert.