The nominee has died and their heir claims ignorance of the nominee shareholding arrangement — what can I do?
You must produce evidence to prove that the nominee shareholding relationship was formed. The best evidence is a written nominee shareholding agreement; next best are the capital contribution records, dividend transfer records, evidence of participation in the company’s operation and decision-making, correspondence with the nominee concerning the nominee shareholding relationship, and the testimony of other shareholders. Where the evidence is sufficient, the court may find the nominee shareholding relationship established and order the heir to cooperate with the change of registration or to pay consideration; where the evidence is insufficient, recovery of the equity may be impossible.
