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Controlling Interest



A shareholder has controlling interest in a corporation if the shareholder has a majority of the voting shares of stock in that corporation. Having controlling interest means that the owner of the controlling shares can control any decision made by the shareholders and override any other shareholder opinions or votes. Depending on the bylaws of the corporation, a two-thirds interest may be required to pass any motion. In this case, controlling interest would be 34 percent of the votes (preventing two-thirds vote by any other person or group).

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