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3.5.1. Parties in a Derivative Claim
3.5.1.1. Claimant in a Derivative Claim
As clarified in Section 260 of the Companies Act 2006, the claimant who brings a…
The claimant must be a member on the date on which the derivative act was initiated.…
Hannigan points out that even if it is stated in section 260 that ‘a member of a company’ may bring a derivative claim to the court, the expression ‘member’ should be perceived as the minority shareholder. Technically, there are no obstacles to bringing a derivative claim within the scope of section 260 for the majority shareholder who controls the company. However, it would not be appropriate for the majority shareholder to use this remedy. Having said this, the Court determined in Cinematic Finance Ltd v Ryder…
3.5. Statutory Derivative Action
3.5.1.2. Defendant in a Derivative Claim
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