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The articles of association of Zed Ltd provide that Z is to be an executive director for life. Zed is also a shareholder in the company.
Which ONE of the following is CORRECT?
Suggested Answer: C
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27 comments · newest first
SU
Susana
12 months ago
Not sure about that breach of contract thing... sounds complicated!
SH
Shelia
12 months ago
Z should have some voting rights as a shareholder, right?
MO
Mohammad
1 year ago
Wait, can he really be fired if he's a director for life?
BL
Blondell
1 year ago
I agree, the articles don't protect him from that.
IS
Isadora
1 year ago
Z can definitely be dismissed by an ordinary resolution.
WI
Willodean
1 year ago
I think D could be tricky because it seems like Z shouldn't vote on his own dismissal, but I can't recall the exact rules.
AR
Arminda
1 year ago
I feel like we covered a similar question about director dismissal, and I think A might be misleading since the articles say Z is for life.
CY
Cyndy
1 year ago
I'm not entirely sure, but I think executive directors have some employment rights, which might make B the right choice.
WY
Wynell
1 year ago
I remember discussing how articles of association can create binding contracts, so maybe C is correct?
AL
Alyce
1 year ago
Okay, the question is asking for the sensitivity, which is the true positive rate. I think I can figure this out by looking at the values in the matrix and doing some basic math.
GL
Glen
1 year ago
The correlation impacts diversification benefits. A higher correlation will reduce risk reduction from combining these stocks.
CH
Chandra
1 year ago
This question is a real brain-teaser. I bet Z is just sitting back, sipping on a margarita, and laughing at all the poor souls trying to figure this out.
CE
Cecilia
1 year ago
If Z is a shareholder, then he should definitely be able to vote on his own dismissal. Option D is the way to go, no doubt about it.
PA
Paola
1 year ago
Option D is the correct choice for sure.
AN
Annice
1 year ago
Yes, Z is entitled to vote as a shareholder in that situation.
ZO
Zona
1 year ago
I agree, Z should definitely be able to vote on his own dismissal.
BR
Breana
1 year ago
Hang on, this guy Z is an executive director for life? That's wild! I wonder if he's got some dirt on the other shareholders or something. Option D is probably the way to go, though.
JU
Justine
1 year ago
Definitely, it's all about transparency and accountability in a company. Z should have a voice in what happens to him as a director.
SH
Shayne
1 year ago
I agree, option D seems fair. It's important for shareholders to have a say in decisions like that.
LA
Lashaun
1 year ago
Yeah, it's pretty crazy that Z is an executive director for life. I think option D makes sense, he should be able to vote on his own dismissal.
GE
Geoffrey
2 years ago
I'm not too sure about this one. As an executive director, Z is an employee, so option B might be correct and he could have some employment protection rights.
KE
Keva
1 year ago
C) Z may sue the company for breach of contract in respect of the provision in the articles of association as they form a contract between the members and the company.
JO
Johnathon
1 year ago
A) Despite the provision in the articles Z can be dismissed at any time by an ordinary resolution.
KI
Kimi
2 years ago
Option C seems like the most logical choice. The articles of association are a contract between the company and its members, so Z should be able to sue for breach of contract if they try to dismiss him.
SO
Sommer
2 years ago
But doesn't the provision in the articles of association create a contract between the members and the company?
RY
Ryan
2 years ago
I disagree, I believe the correct answer is D.
SO
Sommer
2 years ago
I think the correct answer is C.