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Source Other Crimes, Wrongs, or Acts Other Crimes, Wrongs, or Acts Showing the closest available flashcard practice.

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0 tracked cards Business Associations

A shareholder brings a derivative suit but states that the only purpose is to pressure the corporation into buying the shareholder's stock at a premium.
Which derivative-suit requirement is most directly implicated?

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A derivative plaintiff adequately represents the corporation whenever the suit is filed for a purely personal side payment. Adequacy requires the plaintiff to be a director. Adequacy is irrelevant in all derivative suits. A derivative plaintiff must fairly and adequately represent the interests of the corporation.

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