of Lords re-affirmed principle that provision in company’s articles restricting
its statutory power to alter those articles is invalid.
case concerned contract, independent of articles, not to alter articles.
of Lords held agreement to be ‘as obnoxious as if it had been contained in the
House of Lords merely severed company from agreement in question, meaning agreement
now between shareholders only.
agreement among shareholders as to how they will exercise voting rights
attached to their shares is not caught by invalidity principle.
such agreement will of course be less effective than one which binds company as