1. Is a provision in the by-laws of a corporation declaring a person engaged in a competing business ineligible for nomination for election of board of directors valid?
2. Can a corporation act as surety or guarantor?
3. The stockholders of People Power Inc. approved two resolution a special stockholders' meeting
Resolution increasing the Authorized capital stock of PPI and Resolution authorizing the board of directors to issue, for cash payment, the new shares from the proposed capital stock increase in favor of outside investors who are non stockholders.
The foregoing resolutions were approved by stockholders representing 99% at the
total outstanding capital stock. The sole dissenter was Jimmy Morato who owned 1% of the stock.
Are the resolutions binding an the corporation and its stockholders Including Jimmy
Morato, the dissenting stockholder?
4. Is there pre-emptive right on the re-Issuance of treasury shares?
Assuming a stockholder disagrees with the Issuance of new shares and the pricing for the shares, may the stockholder Invoke his appraisal rights and demand payment for