178. Right to demand a poll Flashcards
- Right to demand a poll
General overview
[178.01] Section 178 provides that members may demand a poll if certain conditions are satisfied. Currently, most companies require their resolutions to be voted on a show of hands. On the other hand, a vote by poll is more accurate, albeit more expensive, as the voting is more exact and equitable in that one vote per share is counted, as opposed to a show of hands where each shareholder is only entitled to cast one vote regardless of the number of paid-up shares he holds. Voting by show of hands is also cumbersome as it requires the physical presence of the shareholder, or his proxy at the meeting. Generally, Act No 36 of 2014 has lowered the threshold of members required to demand a poll from 10% to 5% of the total voting rights of all the members entitled to vote, or of the total sum paid up on all the shares conferring the right to vote at the meeting.
