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25 cards

1What is a derivative suit?
2What is the difference between a direct action and a derivative action?
3In general, may a member in an unincorporated association bring a derivative suit?
4What two elements must be present for a shareholder to having standing to bring a derivative suit on behalf of a corporation in many state courts?
5What does it mean to say that the plaintiff in a derivative suit fairly and adequately represents the corporation’s interests in bringing the deriv...
6Must a shareholder always make a written demand on a corporation to take suitable action before seeking judicial authorization to pursue a derivati...
7In the context of derivative litigation, what does it mean to say that the board of directors cannot independently assess a demand to bring suit?
8After making a written demand on a corporation to take suitable action, must a shareholder always wait 90 days before seeking judicial authorizatio...
9If a corporation makes a good-faith determination that a derivative suit is not in the corporation’s best interests and moves to dismiss the deriva...
10For purposes of derivative litigation, who is an independent director?
11If a derivative suit is successful, does the shareholder who brought the action usually receive the damage award?
12A corporation agreed to rent space in a building owned by the corporation’s former chief executive officer (CEO). After several months, some shareh...
13A corporation entered into a contract to sells its scrap metal to a scrap-metal processor. The contract contained a repurchase provision. This prov...
14A group of shareholders was pursuing a derivative lawsuit against a corporation’s board of directors for failing to bring a claim against a former ...
15Shareholders brought a derivative lawsuit alleging that two of the corporation’s directors had improperly embezzled money from the corporation. Dur...
16What requirement must a plaintiff satisfy to have standing to bring a derivative action in federal court on behalf of a corporation or unincorporat...
17In a federal derivative suit, what pleading requirements must the complaint satisfy?
18Do state-law demand requirements typically apply in federal derivative litigation?
19In federal court, does any settlement, voluntary dismissal, or compromise of a derivative suit require court approval?
20What is a class action?
21In general, may corporate shareholders or members in an unincorporated association sue the entity or its officers in a class action?
22In general, does a derivative suit require the plaintiff to obtain class certification and comply with all the other requirements of class actions?
23In federal court, what are the basic prerequisites for a class action?
24In federal court, if the basic prerequisites for a class action are met, is that alone enough for the court to permit the class action?
25In federal court, does any compromise, settlement, or voluntary dismissal of a class action require court approval?

What is a derivative suit?

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