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Q: bank shares ( No Answer,   2 Comments )
Question  
Subject: bank shares
Category: Business and Money
Asked by: peewee409-ga
List Price: $10.00
Posted: 12 Mar 2006 18:20 PST
Expires: 11 Apr 2006 19:20 PDT
Question ID: 706555
if you own bank shares can the bank force a person to sell those shares
Answer  
There is no answer at this time.

Comments  
Subject: Re: bank shares
From: pcarney123-ga on 14 Mar 2006 12:48 PST
 
No company, bank or not, can force you to sell your "common" shares,
unless you're talking about a merger transaction, in which case, yes
they can. Like if they announce they're going to be acquired then yeah
you'd have to sell.


If you're talking about prefered shares, which you most likely are
not, it will depend on the terms of the original offering.
Hope that helps.
Subject: Re: bank shares
From: riskarbitrage-ga on 23 Mar 2006 21:21 PST
 
You need to look at the articles of incorporation for the bank (or any
company).  In some industries (like gaming), it is illegal for certain
people or entities to own shares in the company (or over a specified
amount of ownership).  This would be disclosed in the articles of
incorporation.

Other times, the shares may be callable (look at Dreyers and Nestle)
and the company will have the option to force you to sell the shares.

Sometimes, depending on which state the company is incorporated in,
you can ask for appraisal rights if there is a merger transaction and
you are not happy with the terms of the merger consideration.  In this
case, the proxy would disclose the rights you have (if any).

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