With its recent judgment in the case Regarding
Giacintoco Holdings Limited, Petition 483/19,
18/11/2019, the District Court of Limassol has ruled
that a minority shareholder may pursue an oppression of minority
petition, irrespective of whether the underlying company had a
positive value for distribution to the shareholders in case of
winding up.
The above judgement differentiates the position taken in a
number of previous first instance judgments via which such
petitions were rejected, for lack of locus standi by relying on the
conditions set out for promoting a winding up petition on grounds
that it was just and equitable to do so.
While the judgment is a first instance judgment and carries no
precedential value, it nevertheless relies on undisputed common law
authorities and contains a solid reasoning, and as such, it sets
the record right in relation to the petitioner's locus standi
to promote oppression of minority petitions.
