Newsletter
BOARD HAS SOLE POWER TO REVIEW SHAREHOLDER MO-TIONS AND DIRECTORSHIP NOMINEES
In an interpretation issued on 11 January 2006, the Ministry of Economic Affairs noted that, according to the Company Act, motions pro-posed by shareholders are to be reviewed by the board of directors. Therefore, the MOEA con-cluded that the power to review shareholders'' motions should lie exclusively with the board, and cannot be delegated to the managing direc-tors. When the board of directors convenes a shareholders'' meeting, the power to review nominees for election to directorships lies ex-clusively with the board. Likewise, this function may not be delegated to the managing directors.