Comparative Derivative Litigation Analysis

Abstract

Shareholder-derived litigation refers to the litigation system when the legitimate rights and interests of the company are infringed by others, especially by the controlling shareholders, parent company, directors, and managers. As an important system to protect the interests of shareholders shareholder derivative actions have been controversial in practice and do not work well as a remedy. This article will focus on the advantages of relaxing derivative actions while pointing out the problems in current judicial practice and suggesting possible solutions for improving derivative actions in the future.