SANCTIONS FOR NON-COMPLIANCE WITH MANDATORY BID RULE
Each state takes responsibility for functioning of the market, which requires that norms provide adequate sanctions for those who do not comply with prescribed rules. Takeover law belongs to the area in which is of particular importance to determine appropriate sanctions. In this domain exists divergence between the necessity to protect shareholders of target company (and society as a whole) and encroachment on property rights of the offeror. This article deals particularly with the situation when mandatory offer was not launched. The article lists the most common sanctions, and pays special attention to suspension of voting rights of the offeror in the target company. Special reference is given to the decision of Croatian Constitutional Court on the proportionality of said sanction. Based on that, the article examines takeover regulation in the Republic of Serbia.