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Synonyms

Shareholders’ preemptive rights; Stockholders’ preemptive rights; Stockholders’ rights

Definition

“Shareholder rights” means the bundle of rights which a shareholder possesses by virtue of part or total ownership of shares. Such rights can vary according to types of owners, types of shares, and also other contractual rights, which may attach to shares or may stem from a separate contractual right. The specific contents of the bundle of rights vary across legal jurisdictions, across companies, and across types of shares. A shareholder or stockholder is the owner of part or all of one or more shares of the stock of a corporation or a mutual fund. Therefore, the shareholder is, at least theoretically, a part owner of the corporation, which is a business entity, which is owned by shareholders. Each shareholder owns the portion of the company in proportion to his or her ownership of the company’s shares (certificates of ownership). This allows for the unequal ownership of a...

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Correspondence to Ahmed El-Masry Ph.D. .

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El-Masry, A., Kamal, N. (2013). Shareholder Rights. In: Idowu, S.O., Capaldi, N., Zu, L., Gupta, A.D. (eds) Encyclopedia of Corporate Social Responsibility. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-28036-8_335

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  • DOI: https://doi.org/10.1007/978-3-642-28036-8_335

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