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Lanuza vs Court of Appeals, SEC

JESUS V. LANUZA, MAGADYA REYES, BAYANI REYES and ARIEL REYES, Petitioners, versus COURT OF APPEALS, SECURITIES AND EXCHANGE COMMISSION, DOLORES ONRUBIA, ELENITA NOLASCO, JUAN O. NOLASCO III, ESTATE OF FAUSTINA M. ONRUBIA, PHILIPPINE MERCHANT MARINE SCHOOL, INC., Respondents.

G.R. No. 131394 | 2005-03-28

D E C I S I O N
 
Tinga, J.:

Presented in the case at bar is the apparently straight-forward but complicated question: What should be the basis of quorum for a stockholders' meeting-the outstanding capital stock as indicated in the articles of incorporation or that contained in the company's stock and transfer book?

Petitioners seek to nullify the Court of Appeals' Decision in CA-G.R. SP No. 41473[1] promulgated on 18 August 1997, affirming the SEC Order dated 20 June 1996, and the Resolution[2] of the Court of Appeals dated 31 October 1997 which denied petitioners' motion for reconsideration.
 
The antecedents are not...