Practice question
A holds 100 fully paid shares and B holds 10 fully paid shares of the same class with identical rights. No special preference applies. They dispute a dividend distributed on a per-share basis. Does equality of shares require equal total amounts for A and B?
- Yes; every holder must receive the same total regardless of holdings.
- Yes; share count is always irrelevant.
- No; B must receive ten times as much solely for holding fewer shares.
- No; A must receive nothing because a large holding is unlawful.
- No; equal treatment per share can yield different totals reflecting their different share counts.
Legal references
- Revised Corporation Code, RA 11232, sections 3 and 6, https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/86463
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