Reference Case: Zhao Mou and Qian Mou v. a Zaozhuang Company
A shareholders' resolution is not validly established where the company bypasses lawful convening procedures and instead drafts the outcome first and then seeks written signature confirmation. A shareholder's receipt of materials without voting or returning them cannot be deemed consent, and a same-day board resolution dependent on that defective shareholder vote also fails.
Holding
A shareholders' resolution is not validly established where the company bypasses lawful convening procedures and instead drafts the outcome first and then seeks written signature confirmation. A shareholder's receipt of materials without voting or returning them cannot be deemed consent, and a same-day board resolution dependent on that defective shareholder vote also fails.