Which term describes pooling voting rights or placing voting shares in a trust?

Which term describes pooling voting rights or placing voting shares in a trust?

• A. Proxy in Writing
• B. Quorum
• C. Voting Pool or Trust
• D. Inspection Rights

Answer: (C)

Pooling voting rights or placing voting shares in a trust creates a structure where voting power is centralized in a trustee under an agreement. This arrangement is known as a voting pool or voting trust. In a voting trust, shares are transferred to a trustee who votes the shares according to the terms of the trust, while the original owners retain ownership of the shares. This differs from a proxy, where you simply authorize someone to vote your shares for a particular meeting but you still own the voting rights and can revoke the proxy. It’s not about meeting attendance requirements (quorum) or access to books and records (inspection rights).

Pooling voting rights or placing voting shares in a trust creates a structure where voting power is centralized in a trustee under an agreement. This arrangement is known as a voting pool or voting trust. In a voting trust, shares are transferred to a trustee who votes the shares according to the terms of the trust, while the original owners retain ownership of the shares. This differs from a proxy, where you simply authorize someone to vote your shares for a particular meeting but you still own the voting rights and can revoke the proxy. It’s not about meeting attendance requirements (quorum) or access to books and records (inspection rights).