Corporate Balance: Legal Protection of Minority Shareholders

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Corporations, as essential economic engines, are not only structures for investment and capital growth, but are also scenarios for human relations and rights. Within them, we find a diversity of shareholders, from those who own large portions of the shares to those who have a more limited participation. The latter, known as minority shareholders, are often in a vulnerable position due to their lesser capacity to influence business decisions.

However, the importance of minority shareholders should not be underestimated. Non-controlling shareholders contribute by diversifying capital and adding a counterweight to the power of the majorities, enriching debate and enhancing decision-making. Ensuring their protection and rights is not only a matter of fairness, but also strengthens the transparency, equity and long-term health of a corporate enterprise.

Unfortunately, controlling shareholders, having a greater say in company matters, often make… Read more

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