What are the requirements and voting threshold for a private corporation to extend or shorten its corporate term?
A private corporation may extend or shorten its term as stated in the articles of incorporation only when the action is approved by a majority vote of the board of directors or trustees (SEC. 36, Revised Corporation Code of the Philippines). This decision must then be ratified at a meeting by the stockholders or members representing at least two-thirds (2/3) of the outstanding capital stock or of its members. Written notice of the proposed action, including the time and place of the meeting, must be properly sent to all stockholders or members. In the specific case of extending the corporate term, any dissenting stockholder retains the statutory right of appraisal.
30 October 2025
About Nicolas and De Vega Law Offices
Nicolas and De Vega Law Offices is a full-service law firm in the Philippines. You may visit us at the 16th Flr., Suite 1607 AIC Burgundy Empire Tower, ADB Ave., Ortigas Center, 1605 Pasig City, Metro Manila, Philippines. You may also call us at +632 84706126, +632 84706130, +632 84016392 or e-mail us at [email protected]. Visit our website https://ndvlaw.com/.
