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Even for a big, popular firm like Warren Buffett's Berkshire Hathaway, the business portion of the agenda takes only about 20 minutes. The election of directors and votes on shareholder proposals are handled in a largely scripted manner.
The record date is the cut-off date used to determine which shareholders are entitled to a corporate dividend. To be eligible for the dividend, you must buy the stock at least two business days before the record date.
A special shareholder meeting is sometimes called to handle issues that occur in between annual meetings, and often have certain requirements for calling and holding the meeting. Annual shareholder meetings have become something that is expected from investors.
The company must deliver a notice of the meeting to each shareholder at least 15 business days prior to the meeting.
(1) The board of a company, or any other person specified in the company's Memorandum of Incorporation or rules, may call a shareholders meeting at any time.
: a meeting held for a special and limited purpose specifically : a corporate meeting held occasionally in addition to the annual meeting to conduct only business described in a notice to the shareholders.
Annual Meeting. The annual meeting of the shareholders of this corporation shall be held on the 30th day of June of each year or at such other time and place designated by the Board of Directors of the corporation. Business transacted at the annual meeting shall include the election of directors of the corporation.
Special meetings of directors or members shall be held at any time deemed necessary or as provided in the bylaws: Provided, however, That at least one (1) week written notice shall be sent to all stockholders or members, unless a different period is provided in the bylaws, law or regulation.
Generally, a corporation's directors will call a special meeting of the shareholders when they would like to undertake a particular activity or a special issue that requires shareholder approval. It is often convenient to combine special meetings with annual meetings.
Even though the corporation is legally required to notify shareholders of the annual meeting, stockholders may opt out of receiving notification of the meeting by signing a waiver of notice form. Essentially, shareholders are telling the corporation that they no longer wish to be notified of future annual meetings.