What happens if a special resolution to change class rights is deemed "unfairly prejudicial"?

When a special resolution to change class rights is deemed "unfairly prejudicial," the correct outcome is that it can be canceled by the courts. This reflects the principle that shareholders have protection against decisions that may adversely affect their rights without proper justification or consent, especially when such changes could be seen as benefiting one group of shareholders over another to the detriment of others. Courts have the authority to intervene in these matters to ensure fairness and equity among shareholders.

In the context of corporate governance, decisions impacting class rights should not only be made based on the majority's will but must also take into consideration the fairness of the decision as it affects those holding different classes of shares. If shareholders feel that a resolution is not just or is prejudicial to their interests, they can seek judicial intervention, and the court has the power to annul such resolutions if they find them to be unjust.

The other options do not capture the legal protection provided to shareholders effectively. Some might suggest that a supermajority is required to enforce such a decision, but this does not reflect the reality when considering unfair prejudice. Similarly, the notion of revisiting the matter at a future meeting does not equate to the immediate legal remedy available through the courts when unfair prejudicial treatment is identified