We are all looking for ways to make our money make more money. For most people, when they buy shares in a public listed company or put capital into a private company, they are hoping for a return on their investment. That return generally takes the form of a dividend. If you have been savvy enough to invest in a company that regularly declares a dividend, then you may have happily become accustomed to receiving this “extra cash”. However, shareholders do not have a right to dividends.
A dividend can be defined as the distribution of profits by a company to its shareholders. The payment of dividends by a company is subject to several considerations. Firstly, section 158(3) of the Companies Act of Jamaica (the “Act”) states that “no di…
Read the full article at: https://www.jamaicaobserver.com/business/a-shareholders-right-to-dividends/