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Golden parachutes represent one of the preventive defence antitakeover measures based on which contracts are concluded with the engagement of team of managers of the target company, promising them the payment of profitable compensation in case of occurrence of transactions related to takeover of control (purchase of a certain percentage of shares or direct offer to shareholders for a certain percentage of company shares). Contract rights called the golden parachutes are activated by the creation of one or more alternative events, or "triggers." (Un)intentional incorrect application of the golden parachutes may have not only significant negative consequences on the future performance of companies, but it can also deter potential investors from the decision to invest their capital in companies that have entered into such agreements with the engaged team of managers. Numerous cases of incorrect application of the golden parachutes can be found in the former socialist countries, as well as in the countries that emerged from the dissolution of Yugoslavia.

(AB)USE OF GOLDEN PARACHUTES IN STATE-OWNED COMPANIES IN THE FORMER YUGOSLAVIA