Definition of DERIVATIVE ACTION in Black's Law Dictionary 4th Edition – Legal dictionary – Glossary of legal terms.
Definition of DERIVATIVE ACTION
A suit by a shareholder to enforce a corporate cause of action. The corporation is a necessary party, and the relief which is granted is a judgment against a third person in favor of the corporation. Price v. Gurney, Ohio, 65 S.Ct. 513, 516, 324 U.S. 100, 89 L.Ed. 776.
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That's the definition of DERIVATIVE ACTION in Black's Law Dictionary 4th Edition – Legal dictionary – Glossary of legal terms. Courtesy of Cekhukum.com.
