What are the legal rights and responsibilities of shareholders?

Shareholders are individuals or entities that legally own a portion of a corporation, and as such they have some legal rights and responsibilities. Shareholders are entitled to vote on important decisions such as the selection of board members or the approval of mergers and acquisitions. They are also able to view the company’s financial records and corporate documents. In South Carolina, shareholders also have the right to inspect the books and records of the corporation, and can hold the directors of the company to account if they are suspected of wrongdoing. Shareholders in South Carolina also have the legal responsibility of faithfully investing their capital in the company and taking a proactive role in managing company affairs. This includes attending shareholder meetings, where they will be informed of the company’s financial performance, any changes in management, and any proposed investments or transactions. Shareholders also have a responsibility to comply with the laws governing the company’s operations, and any claims brought against the company or its directors. Shareholders have a right to expect a reasonable return on their investment, however this does not mean they are entitled to a guaranteed return. Ultimately, shareholders are taking a risk and must accept that their investment can be lost.

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What are the legal rights and responsibilities of shareholders?

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