Corporate Governance & Distrust – Can Minorities Effectively Control The Management?

The author presents legal pos­si­bil­i­ties enabling minor­ity share­hold­ers to chal­lenge deci­sions of man­age­ment boards in pub­lic companies.

Corporate governance in Poland

In Polish corporate governance there is a clear separation between management and supervisory functions in a company. In addition to these two corporate bodies, there is a shareholders' meeting, which takes the company's key decisions. The decisions of the shareholders' meeting are usually taken in accordance with the will of the majority shareholders. However, in some cases the principles of corporate governance may give also to the minority shareholders a possibility to discipline the management, and sometimes even the majority shareholders.