Tomáš Doležil, Martin Sztefek
Author’s affiliation: JŠK, attorneys at law

On the origin of one (non)endemic species

Jurisprudence 5/2020 Section: Articles Page: 18-24

Keywords: business corporation, special right share, types of shares, removal of rights, modification of rights, sistation of rights, distribution of profit and other special resources, displacement of minority shareholders, shareholder agreements

Abstract: The Business Corporations Act introduced the possibility of creating special kinds of shares by modifying the rights associated therewith, their addition or removal respectively. Nevertheless, certain opinions appeared that did not seem to favour the wide interpretation of the Business Corporations Act with regard to the issue of creating special shares. The amendment entering into force as of 1 January 2021 seeks to respond to the resultant situation and the legal uncertainty. Its objective is to delimit the boundaries within which partners may operate and to confirm the liberal concept of legal regulation. The changes made to the legal regulation eliminate a number of ambiguities and risks whereas they reflect in a range of other areas of corporate law.