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ARTICLE · 21 SEPTEMBER 2023

Differences Between Shareholders' Agreement And Articles Of Association

A shareholders' agreement and the company's articles of association (Articles) are important constitutional documents for a company, particularly where there is more than one shareholder.

United KingdomCorporate/Commercial Law

A shareholders' agreement and the company's articles of association (Articles) are important constitutional documents for a company, particularly where there is more than one shareholder.

The documents both serve different purposes and have different legal implications.

However, together, they seek to govern the affairs and management of the company.

The Articles

The Articles are required by the Companies Act 2006 (the Act)and, typically, will set out the rights attaching to the shares, as well as the management and administrative structure of the company.

Unlike a shareholders' agreement, the Articles are filed with Companies House and are available for public inspection online. 

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