{{code}}
Share Transfers and Shareholding Structure
Share Transfers and Shareholding Structure
Prepared by: Constantinople
An interim injunction may be considered if transferring disputed company shares would seriously hinder enforcement of the right. Simply distrusting the other shareholder may not suffice. The right to be protected, the specific nature of the anticipated transaction and the harm that delay would cause must be explained. The court decides on the basis of the dispute and evidence; filing an application does not automatically freeze the shares or change registry or company records.
Prepare the basis of your ownership or transfer claim, agreements, payment records and correspondence indicating a further transfer. The current share type and record-keeping arrangements also matter. The transaction you seek to prevent must be clear: preventing the transfer of particular shares is different in scope from stopping all the company's banking transactions. Excessively broad requests may also affect the interests of the company and third parties.
Prima facie evidence, security and implementation of the injunction are examined together. When protection is sought before an action is filed, the deadlines for the subsequent action and implementation must also be planned. Suspending implementation of a general meeting resolution may involve specific rules. It is therefore not a sound approach simply to insert the company's name into a ready-made petition without identifying the legal basis of the requested injunction; each case is prepared individually.
Identify the document showing the transfer risk and the anticipated transaction date in your initial application. The basis and scope of the injunction and any potential security requirement are assessed separately. An injunction provides temporary protection; it does not replace a final judgment determining ownership of the shares.
File review is a paid service. The scope and fee are set out in writing before work begins.