A voting system that gives minority shareholders more power, by allowing them...
A shareholder may cast all his or her votes for one candidate for the board of directors. Also see majority voting.
A system of stockholder voting, in which shareholders cast all their combined votes in any manner they wish.
Each voter may vote as many times as there are seats to be filled, and the voter may either give all of his/her votes to one candidate, or distribute them among several candidates.
A system of voting for directors of a corporation in which shareholder's total number of votes is equal to his number of shares held times the number of candidates.
A method of voting that allows substantial minority shareholders to obtain representation on the board of directors by allowing a shareholder to cast all of his or her available votes in an election in favor of a single candidate.
Method of voting where each shareholder multiplies the number of shares owned by the number of seats on the board and can distribute those votes all to one candidate or spread them among several candidates, allowing minority shareholders to be represented on the board
A provision that permits shareholders to apportion the total number of votes they are entitled to cast in the election of directors in any fashion they desire. The total number is equal to the number of directors to be elected at the meeting multiplied by the number of shares eligible to be voted. With cumulative voting, each shareholder may cast the total number of votes that he or she is entitled to cast for one director, or apportion them among the candidates as desired.
Type of shareholder voting in which a stockholder may cast as many votes for directors as he has shares of stock multiplied by the number of directors to be elected. It is a method of voting that allows substantial minority shareholders to obtain representation on the board of directors.
Rather than casting the same number of votes for each director, cumulative voting allows a stockholder to aggregate all of the stockholder's votes. Thus, if a stockholder owns 20 shares, and three directors are being elected, the stockholder has a total of 60 votes (i.e., the number of shares times the number of directors being elected) which can all be voted for one or more directors. Cumulative voting increases the ability of minority investors to obtain board representation. G-H I-K Q-R T-U V-Z
This method of voting is intended to create adequate representation of minority shareholders. Cumulative voting allows shareholders to aggregate their votes in favor of fewer candidates than there are slots available.
A method of voting for corporate directors. In contrast to statutory voting, cumulative voting allows shareholders to multiply the number of shares owned by the number of directorships being voted. The votes may be cast in any manner that the holder chooses--all for one director or any combination thereof. If a corporation, for example, has 6 openings to the Board of Directors, in statutory voting, a stockholder who owns 100 shares may cast 100 votes for each opening, thus having 600 votes. In cumulative voting, the stockholder may vote in the same manner as statutory voting or cast 600 votes for only one nominee, 300 for two, 200 for three, or any other combination. Cumulative voting allows small shareholders to have a better chance of naming representatives on the board of directors. Cumulative voting is required under the corporate laws of some states, and is at the discretion of the corporation in most others. See: Nonvoting Stock; Statutory Voting; Voting Right
Cumulative voting is a voting right which, when applicable, is intended to preserve the voting strength of minority shareholders. For example, if John has 25 voting shares and there are three directors to be elected, John has 75 votes which he may allocate in any manner chooses. In some states, cumulative voting exists unless the articles reject it. In other states, cumulative voting does not exist unless the artciles permit it.
Right which gives the minority investor extra voting power by allowing for the spread of votes over many candidates or the concentration of votes to elect one director. Go to top of page
A method of voting for corporate directors that enables the shareholder to multiply the number of his shares by the number of directorships being voted on and cast the total for one director or a selected group of directors. For example, if a corporation has 12 openings to the Board of Directors, in statutory voting, a 10-share holder casts 10 votes for each opening thus having 120 votes. Under the cumulative voting principle he may do that or he may cast 120 (10 x 12) votes for only one nominee, 60 for two, 40 for three, or any other distribution he chooses. Cumulative voting is required under the corporate laws of some states, and is permitted in most others (vs. Statutory Voting).
A process that permits minority shareholder representation on corporation boards. The shareholder may "cumulate" all of their votes for one particular seat, thereby increasing the chances of electing a director. For example, if there are 10 board seats and the shareholder only owns 50 shares, he may vote 500 shares for one board seat.
A procedure used for electing directors in which shareholders are entitled to multiply the number of votes they are entitled to cast by the number of directors for whom they are entitled to vote and cast the product for a single candidate or distribute the product among two or more candidates.
A method of voting for corporate directors that enables the shareholders to multiply the number of their shares by the number of directorships being voted on and to cast the total for one director or a selected group of directors. A 10-share holder normally casts 10 votes for each of, say 12 nominees to the board of directors. One thus has 120 votes. Under the cumulative voting principle, one may do that or may cast 120 (10 x 12) votes for only one nominee, 60 for two, 40 for three, or any other distribution one chooses. Cumulative voting is required under the corporate laws of some states and is permitted in most others.
A system of voting shares of stock used in some states and cumulative voting gives minority shareholders additional voting power by allowing them to cumulate their votes for a single director.
A voting privilege in which a stockholder multiplies the shares he owns by the number of vacancies to be filled on the board (or proposals to be resolved), allowing him to apportion his total votes accordingly in the manner he so prefers. This procedure is particularly advantageous for minority stockholders.
A method of voting for corporate directors. Each share has as many votes as there are directors to be elected, and the holder may distribute these votes as he wishes.
A method of voting for corporate directors that enables the shareholder to multiply the number of shares owned by the number of directorships being voted on and cast the total for one director or a selected group of directors. Cumulative voting tends to benefit the small investor.
A form of corporate voting in which each shareholder has the right to vote the number of shares owned for as many persons as there are directors to be elected, or to cumulative such shares and give one candidate as many votes as the number of directors multiplied by the number of his or her shares shall equal, or to distribute them on the same principle among as many candidates as one shall think fit. The vote is most often made available in elections of directors
Cumulative voting (also accumulation voting or weighted voting) is a multiple-winner voting system intended to promote proportional representation while also being simple to understand.