In what circumstances will a shareholder of a company be able to bring a motion for personal injury against the company’s majority shareholder?

Ontario, Canada


The following excerpt is from Beatty v. North-West Transportation Co., 1885 CanLII 20 (ON CA):

In Macdougall v. Gardiner, 1 Ch. D. 21, James, L.J., says: “Nothing connected with internal disputes between the shareholders is to be made the subject of a bill by some one shareholder on behalf of self and others, unless there be something illegal, oppressive, or fraudulent—unless there be something ultra vires on the part of the company, qua company, or on the part of the majority of the company, so that they are not fit persons to determine it, but that every litigation must be in the name of the company, if the company really desire it.”

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