Posts Tagged ‘derivative action’
How the New Florida Business Corporation Act Affects Shareholder Derivative Litigation
Shareholder derivative litigation involves a corporate shareholder bringing a lawsuit on behalf of the company for harm suffered by the company. This type of litigation was impacted significantly with the passage in 2020 of the revised Florida Business Corporation Act (FBCA), Chapter 607 of the Florida Statutes, in several ways. Perhaps the most significant impact…
Read MoreUnderstanding the Distinction between Direct and Derivative Shareholder Actions
Whether a shareholder or member of a company can bring a derivative action or direct action against another shareholder or member is a critical matter when corporate wrongdoing or misconduct has occurred. A derivative action involves claims asserted on behalf of the company itself against the bad actor – the company itself is the actual…
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