| Research Abstract: |
| In corporate law there is a right to a majority shareholder to buy |
| out the minority - freeze out - for a price determined by the |
| majority shareholder. The law provide the minority with the right to |
| petition the court if the price offered is not fair - the appraisal |
| right. Does the freeze out right distort efficiency and enable the |
| majority to expropriate the minority? In a joint research with Dr. |
| Zvi Wiener from the School of Business Administration we come to the |
| conclusion that it does not. |