What remedies are available for shareholders?

Foss

1. Proper plaintiff. The right party to bring the claim is the company itself, not a shareholder. e.g. Company can sue someone but the shareholder can’t

2. No Reflective loss. Shareholder can’t sue for the drop in their share value when that drop just mirrors a loss the company suffered.

EXCPETION: Vrij

A shareholder can get LEAVE from the court to sue on behalf of the company when the company won’t.

Test: "would a prudent businessperson bring the claim?"

Shell

TEST for injunction:
1. Is there a serious question to be tried?
2. Does the balance of convenience favour it?
3. Are damages enough?
4. Would either side be unfairly hurt?

Stewart

Court can make mandatory orders to force a director to do what the act or constitution requires.

Personal v corporate loss

(s 169)

derivative actions

s 165

Injunctions

s 164

mandatory order

s 170