Shareholders Agreement Plc Law

A draft contract was drawn up for the purchase of G`s shares (draft contract), but it was never signed by the parties, although they intended to do so at the time of its drafting. G initiated proceedings against B to enforce the sale on the ground that a binding contract had been concluded. The applicant (G) and the defendant (B) each held 50% of the shares in a company of which they were both managers. Under the terms of a shareholders` agreement between G and B, the shareholder concerned would sell the shares to the other if G or B become unable to work for more than six months due to prolonged illness. G became ill in March 2006 and was unemployed until the end of November 2006. Upon G`s return to work, it was agreed that the shareholders` agreement had been triggered and that B would buy G`s stake in the company. .