Individuals purchase stock in a corporation with the understanding that a board of directors will act in the best interests of the company. Unfortunately, this is not always the case. It is not uncommon for a board of directors to take a course of action that is harmful to the company. A derivative action is one where a shareholder sues the board of directors on behalf of the company, itself. If you feel that your board of directors has failed to act in the best interest of the company, contact our derivative action lawyers as soon as possible.
Derivative actions typically center on one of numerous actions, including:
- Breach of fiduciary duty
- Breach of fiduciary loyalty
- Self-interested transactions
- Corporate mismanagement
Shareholder Derivative Actions
At Paradis Law Group, PLLC, our attorneys often represent shareholders in the midst of a merger, acquisition or takeover. It is not uncommon for a board of directors to attempt to sell a company for too little or acquire a company for too much. These actions can directly damage the strength of the parent company and place the company in financial peril. Shareholders can initiate a derivative action to stop the deal before it is finalized. It is crucial to act quickly and put an experienced nationwide attorney on your side.
Contact The Firm
If you have further questions regarding derivative action claims, we encourage you to contact our firm. Paradis Law Group, PLLC, can be reached at 800-787-8954 or through our online contact form. We offer a free, confidential consultation to potential clients.