Important changes in company law came into force on 11 December 2009. These include:
- enabling a company’s deed of establishment that does not indicate the company’s business activity to be declared null and void after the company has been registered (previously it could only be done where there was no reference to the company’s main activity)
- allowing the board of directors or supervisory board members, managers or executives of a public company limited by shares to act as proxy for a shareholder only if they receive clear, written instructions from the shareholder on how to vote in connection with each proposed resolution
- allowing shareholders in a public company limited by shares to have a separate proxy for each securities account they hold
- allowing minority shareholders holding at least 1 % of the voting rights in a public company limited by shares not only to add an agenda item for a general meeting but also to propose a resolution on that agenda item
- extending the disclosure obligation of public companies limited by shares to cover the name of the board/supervisory board members as well as any kind of allowances (and the legal title to them) ever granted to them during the period of their appointment
- enabling the deed of establishment of a public company limited by shares to allow shareholders to exercise their voting rights by post in a way that ensures they can be personally identified
- requiring public companies limited by shares to publish on its website, 21 (previously 15) days in advance of a general meeting, additional information about the number of votes with the draft annual report, the report of the board of directors and the supervisory board and the proposed resolutions
- requiring public companies limited by shares to give at least 10 days’ notice of a reconvened general meeting (and not permitting its deed of establishment to provide otherwise)
Law: amendments to the Hungarian Companies Act
