Kuwait Court of Cassation principle number 1426

The basic rule is that shares in joint-stock companies are traded by commercial methods without following the procedures for assignment of rights. The condition for the effectiveness of the assignment is the company’s acceptance or notification thereof. The effect thereof. Cessation of shareholder status in the company and the transferee’s succession to all rights and duties. Invoking the transfer against the company. Its condition. - The judgment’s disregard upon the plea of loss of standing in the transfer of the share to a third party and its entry in the shareholders’ register. An error.