n. A corporate shareholder's lawsuit that is filed against the management, directors, and/or other corporate shareholders for a management failure. Due to the directors and management failing to exercise their authority on behalf of the company and its shareholders, the suing shareholder claims to be acting on behalf of the corporation. These suits...
Found on
http://www.encyclo.co.uk/local/21213
A lawsuit brought by a shareholder against the corporation's directors, other shareholders of the corporation, or a third party for failure of management or fraud. The suing shareholder sues on behalf of the corporation (usually because the directors are failing to exercise their authority for the benefit of the company), and any proceeds of a succ...
Found on
http://www.nolo.com/dictionary/derivative-action-term.html
No exact match found.
