In the following cases, if shareholders are likely to suffer disadvantage, shareholders may demand that the stock company cease a share issue or disposition of treasury shares relating to solicitations under Article 199, paragraph (1):
if relevant share issue or disposition of treasury shares violates laws and regulations or the articles of incorporation; or
当該株式の発行又は自己株式の処分が法令又は定款に違反する場合
if relevant share issue or disposition of treasury shares is effected by using a method which is extremely unfair.
当該株式の発行又は自己株式の処分が著しく不公正な方法により行われる場合
Read this with the articles around it
treasury sharesmachine translation
「自己株式」
Shares of a stock company that the company itself holds.
Defined inArticle 113, paragraph (4)
articles of incorporation
定款
A company's own basic rules, written by its founders when it is formed: at least its purpose, its trade name, where its head office is, the value of the property contributed at incorporation and who the founders are (Companies Act, Article 27). A stock company's must be certified by a notary before it takes effect (Article 30, paragraph (1)), and can later be changed by a resolution of the shareholders meeting (Article 466). Many rules in the Act apply "unless the articles of incorporation provide otherwise", so a company's articles decide a great deal of how the Act applies to it.
Written by AI using Companies Act, Arts. 26, 27, 30, 466, 575 as a reference.