SMU Lexicon: Shareholders vs Mismanagement by Directors – The power of a Statutory Derivative Action
Business,Business Advice

Reading Time: 7 minutesIntroduction Let’s say you are a minority shareholder. The company is not doing well, and you believe the company’s directors have committed financial mismanagement, or maybe committed fraud. To make matters worse, the other majority shareholders are in cahoots with these directors, so your concerns are dismissed quickly at every meeting. Usually, a company would […]