Can a shareholder of a company sue the company for damages?
British Columbia, Canada
The following excerpt is from Hundal v. Border Carrier Ltd., 2011 BCSC 1703 (CanLII):
Under the rule in Foss v. Harbottle (1843), 67 E.R. 189 (Ch.), the company and its shareholders are different legal entities. It follows that only the company can sue for harm done to it. The proper way for a shareholder to proceed in such a case is by bringing a derivative action on behalf of the company.
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