QUESTION

Is it possible to buy a type of shares in a corporation that would legally limit myself to the right to collect income only?

Asked on Apr 10th, 2014 on Business Law - Florida
More details to this question:
Is it possible to buy a type of shares in a corporation that would legally limit myself to the right to collect income only? I do not want to be legally accountable for the management or decision making of the corporation.
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1 ANSWER

Appellate Practice Attorney serving New York, NY
Shareholders are not responsible for the management of a corporation.  Many people own shares in IBM, Microsoft, Apple, etc. and have no management responsibilities whatsoever.  Management is performed by employees and the board of directors.  It is possible that there could be a shareholder vote on a particular course of action, but that is rare, and would generally involve a major event, not day to day operations.
Answered on Apr 11th, 2014 at 2:24 PM

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