https://www.taxtmi.com/caselaws?id=97049 A company's cause of action is ordinarily pursued by the company itself through its directors, who are usually the proper persons to conduct litigation in the company's name. That general rule is not absolute: where the directors are alleged wrongdoers, act mala fide, exceed their powers, or have a personal conflict with the company's interests, they cannot be expected to vindicate the company's rights. In that situation, if the majority of shareholders supports the proceedings, the majority may take steps to sue in the company's name to protect corporate rights. On the stated facts, the majority shareholders were entitled to maintain the suit in the company's name, and the objection to joinder of the company as co-plaintiff failed. en-us Thu, 22 Dec 1949 00:00:00 +0530 Fri, 16 Feb 2018 11:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=97049 A company's cause of action is ordinarily pursued by the company itself through its directors, who are usually the proper persons to conduct litigation in the company's name. That general rule is not absolute: where the directors are alleged wrongdoers, act mala fide, exceed their powers, or have a personal conflict with the company's interests, they cannot be expected to vindicate the company's rights. In that situation, if the majority of shareholders supports the proceedings, the majority may take steps to sue in the company's name to protect corporate rights. On the stated facts, the majority shareholders were entitled to maintain the suit in the company's name, and the objection to joinder of the company as co-plaintiff failed. Case-Laws Companies Law Thu, 22 Dec 1949 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=97049