The morality issues that go along with selling guns, especially assault rifles, are what initially brought Wal-Mart Stores, Inc. (NYSE: WMT)'s lawsuit with shareholder Trinity Wall Street Church into the spotlight.

Trinity, a relatively small shareholder, wanted to allow shareholders to vote on a resolution that would ask the board to review the company's decision to sell assault rifles. However, after checking with the SEC, Wal-Mart decided against including the resolution putting the two at odds.

Trinity's initial lawsuit in the district courts resulted in a judge siding with the church, but Wal-Mart has since appealed and the case will be heard on April 8th by a three judge panel.

What's On The Table

The case itself has caught investors' attention as it deals less with whether or not selling guns is right or wrong and more with how involved shareholders should be in companies' decision making processes.

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While companies are allowed to exclude items from their annual shareholders' ballots if they are deemed "ordinary business," the SEC requires a vote when the issue pertains to social policy. However, the line has become increasingly blurred with the emergence of activist investors who use their influence in order to advance their own agendas.

America's CEOs are hoping that Wal-Mart comes out on top, as the lawsuit would establish an important precedent for their own operations. Many worry that if Trinity's case is supported, it will open the floodgates for shareholder proposals that interfere with companies' ordinary business decisions.