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ACCA Applied Skills · Corporate and Business Law (Global) · Company meetings and resolutions

Lantern Foods Inc. has a serious dispute with its main supplier that needs members' approval within three weeks. The next annual general meeting is eight months away. The directors decide to call a meeting of all members now for this single matter. What type of meeting is this?

This is an extraordinary general meeting, because it is a general meeting of all members called between annual meetings to deal with specific urgent business. It is not a class meeting, since all members attend, nor a committee meeting.

  1. AAn extraordinary general meetingCorrect
  2. BAn annual general meeting
  3. CA class meeting
  4. DA meeting of the audit committee

Explanation

A general meeting of all members called for specific business outside the annual meeting is an extraordinary general meeting. It is not an annual general meeting because that is the yearly routine meeting. It is not a class meeting because all members attend, not just one class. An audit committee meeting is a board sub-committee and does not involve members.

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