A proxy fight occurs when:
A)the board of directors disagree on the members of the management team.
B)a group solicits voting rights to replace the board of directors.
C)a competitor offers to sell their ownership interest in the firm.
D)the firm files for bankruptcy.
E)the firm is declared insolvent.

Question

Quizplus · Accepted Answer

A proxy fight occurs when a group, often a dissident shareholder group, solicits voting rights in order to replace the board of directors with its own members. This is typically done when there is a dispute over the direction or management of the company.

A Proxy Fight Occurs When