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Start-up Investor - Dissenting Shareholder

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anj

Junior Member
What is the name of your state (only U.S. law)? NC
I was an early round investor in a start-up in North Carolina. According to Article 13 of the North Carolina Business Corporation Act I would have the right, as a shareholder, to dissent to an acquisition of the company if I felt it was not in my best interest. The company has now agreed to be acquired at a price significantly less than the amount of monies they had raised and the early round investors such as I literally get nothing out of the deal (so much for high risk, high reward). Only the later investors get any benefit. The company says that I signed away my rights under Article 13 of the NC Business Corporation Act and therefore I have no right of dissent.

I am not arguing whether or not I apparently signed away my rights - apparantly I did sign this document amongst many other documents - of course I'm sure I would have never agreed to it had it been clearly explained to me - and that's my fault. But can the company entice me to deny me my rights under the law? I ask this question because I know many non-compete contracts are unenforceable by law.
 


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