lawsuit brought on behalf of a corporation by a shareholder in that corporation, against a third party usually an insider of the corporation, such as an executive officer or director.' name='description'> shareholders' derivative action - definition and meaning

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shareholders' derivative action

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Definitions

from Wiktionary, Creative Commons Attribution/Share-Alike License.

noun US, law A lawsuit brought on behalf of a corporation by a shareholder in that corporation, against a third party usually an insider of the corporation, such as an executive officer or director.

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