A dissident group solicits votes in an attempt to replace existing management. This is called a:
A) tender offer.
B) shareholder derivative action.
C) proxy contest.
D) management freeze-out.
E) shareholder's revengE.

Question

Quizplus · Accepted Answer

A dissident group soliciting votes to replace existing management is called a proxy contest. A tender offer refers to an offer made by a third party to buy a significant portion or all of a company's shares. A shareholder derivative action is a lawsuit filed by shareholders on behalf of the company against a third party. Management freeze-out refers to a situation where the majority shareholders in a company deprive the minority shareholders of their rights. Shareholder's revenge is not a recognized term in finance or business.

A Dissident Group Solicits Votes in an Attempt to Replace