Hey there Sign in to join this conversationNew here? Join for free

company law

Announcements Posted on
Study Help needs new mods! 14-04-2014
Post on TSR and win a prize! Find out more... 10-04-2014
    • Thread Starter
    • 0 followers
    Offline

    ReputationRep:
    Just revising for the exam, but I am struggling with remedies and derivative claims.

    If a director has breached his duties from s170-177 and the minority shareholder is looking for a derivative claim

    How would he do so through s994?
    • Thread Starter
    • 0 followers
    Offline

    ReputationRep:
    Anybody?
    I am struggling to understand derivative claim s263 and UPC s994? any help would be great..thanks
    • 0 followers
    Offline

    ReputationRep:
    (Original post by PepsiCola)
    Anybody?
    I am struggling to understand derivative claim s263 and UPC s994? any help would be great..thanks
    Go on Westlaw. Find s.994. Look to the left of it. There's a section where you can look at the cases and articles that have talked about it. Read them. Done.
    • 13 followers
    Offline

    ReputationRep:
    Derivative claims and s994 claims are similar. You can get similar remedies. In fact, one of the possible remedies for a s994 claim is a derivative action (this is because the court doesn't want you to have to re-start the litigation process all over again if it turns out you should have started a derivative action instead of a s994 claim).

    The difference is that derivative claims are claims by the company. The shareholder represents the company in the litigation on behalf of all shareholders, and any remedies are awarded to the company. Section 994 claims are claims by that particular shareholder and any remedy is awarded to that particular shareholder. In any given scenario, think about what the claimant is trying to achieve - is the claim about protecting the company as a whole or is it about protecting that particular shareholder, or class of shareholders.
    • Thread Starter
    • 0 followers
    Offline

    ReputationRep:
    (Original post by jacketpotato)
    Derivative claims and s994 claims are similar. You can get similar remedies. In fact, one of the possible remedies for a s994 claim is a derivative action (this is because the court doesn't want you to have to re-start the litigation process all over again if it turns out you should have started a derivative action instead of a s994 claim).

    The difference is that derivative claims are claims by the company. The shareholder represents the company in the litigation on behalf of all shareholders, and any remedies are awarded to the company. Section 994 claims are claims by that particular shareholder and any remedy is awarded to that particular shareholder. In any given scenario, think about what the claimant is trying to achieve - is the claim about protecting the company as a whole or is it about protecting that particular shareholder, or class of shareholders.

    Thank you very much, jp.

Reply

Submit reply

Register

Thanks for posting! You just need to create an account in order to submit the post
  1. this can't be left blank
    that username has been taken, please choose another Forgotten your password?

    this is what you'll be called on TSR

  2. this can't be left blank
    this email is already registered. Forgotten your password?

    never shared and never spammed

  3. this can't be left blank

    6 characters or longer with both numbers and letters is safer

  4. this can't be left empty
    your full birthday is required
  1. By completing the slider below you agree to The Student Room's terms & conditions and site rules

  2. Slide the button to the right to create your account

    Slide to join now Processing…

    You don't slide that way? No problem.

Updated: April 17, 2012
Article updates
Reputation gems:
You get these gems as you gain rep from other members for making good contributions and giving helpful advice.