Termination of shares of an private limited company

Removal of a shareholder from a company is a very lengthy process. A company must enter into an agreement with the shareholders. The agreement must include the shareholder removal process, i.e. shareholders agreement shall have a procedure for removing a shareholder. Typically, removing a company shareholder requires a majority vote of other shareholders of the company.

He cannot terminate your shares if you have the share certificate for the hares you own.

You can drag him to court  and also prosecute him as per law.

A shareholder’s agreement assures fair treatment of all shareholders and also ensures that every shareholder knows their power and responsibilities within the company.

You can use the law to find out more whether he can terminate and withdraw from shareholders. You can also find a restaurant or a children's play area in cuphead io

Thanks much for the reply. It makes complete sense to me. However, it seems there is another angle to it. Like if the promoter infuses more money and dilutes, the face value of the share becomes much lesser. Isn't it? In that case, my value of my 3% shares would decrease drastically. Did I get it right?

Also, I would value your opinion if you can spare some time on it to talk. Thank a lot again.