In which situation is a corporation likely to disqualify shareholders from certain rights?

A corporation may disqualify shareholders from certain rights when shares are unpaid. This is because most corporations have stipulations in their articles of incorporation or bylaws that state full payment of the share price is required for shareholders to enjoy all rights associated with their shares, such as voting rights and the right to dividends. When shares are unpaid, shareholders may not have fully fulfilled their financial commitment to the corporation, leading to potential restrictions on their rights until those payments are made. This policy protects the corporation by ensuring that all shareholders have a vested interest in the company’s success and have met their financial obligations before participating fully in corporate governance and benefits.

In contrast, the other scenarios typically do not result in disqualification of rights. Pledged shares (the second option) involve a financial arrangement where ownership remains intact, with the pledging of collateral, and typically does not affect the rights of the actual shareholders. Partially liquidated shares (the third option) might imply that some rights are exercised differently, but they do not outright disqualify shareholders from rights altogether. Lastly, shares sold to the public (the fourth option) generally promote an increase in rights and participation, as it signifies broader ownership and potential influence in corporate matters.