Six Degrees of Separation: from derivative suits to shareholder class actions

dialnet-ar-18-ART0001013926

dialnet

Dialnet

Dialnet AR

Seqüência: estudos jurídicos e políticos, ISSN 2177-7055, Vol. 37, Nº. 73, 2016, pags. 37-74

English

trans-Individual litigation
Derivative suits
Shareholder class action
Litígios Transindividuais
Ações Derivativas
Ações Coletivas de Acionistas

trans-Individual litigation
Derivative suits
Shareholder class action
Litígios Transindividuais
Ações Derivativas
Ações Coletivas de Acionistas
Oquendo, Angel R.
Six Degrees of Separation: from derivative suits to shareholder class actions

Trans-individual litigation has revolutionized modern law. Specifically,corporate law has partaken in this phenomenon. For instance, derivative suits allow individuals to sue for a large collectivity in relation to corporatematters. This paper aims to analyze this derivative suits, comparing then to shareholder class actions, explaining that the two procedures resemble each other only superficially and that they diverge from each other on a more profound level. Derivative suits aim at the vindication of a genuinely collective and indivisible right, while shareholder class actions seek to enforce an aggregation of individual entitlements. Consequently, these mechanisms also differ in the kind of representation they entail, in theobjective they pursue, in how they construct fairness internally, and in how they approach the central problem of adequacy of representation. An appreciation of this dichotomy contributes to an understanding not only of the inner workings of each of these two devices but also of the corporation itself and of the relationship among the corporate entity, the board of directors, the investors, and even the stakeholders. In addition, it suggests the need for a new interpretation of the key distinction between both actions one should focus on the nature of the right at stake.

Article

Oquendo, Angel R.

Oquendo, Angel R.

Oquendo, Angel R.

Six Degrees of Separation: from derivative suits to shareholder class actions

Six Degrees of Separation: from derivative suits to shareholder class actions

Six Degrees of Separation: from derivative suits to shareholder class actions

Six Degrees of Separation: from derivative suits to shareholder class actions

Six Degrees of Separation: from derivative suits to shareholder class actions

six degrees of separation: from derivative suits to shareholder class actions

2016

https://dialnet.unirioja.es/servlet/oaiart?codigo=5608033

1709744332235341824

dialnet-ar-18-ART00010139262016-09-14Six Degrees of Separation: from derivative suits to shareholder class actionsOquendo, Angel R.trans-Individual litigationDerivative suitsShareholder class actionLitígios TransindividuaisAções DerivativasAções Coletivas de AcionistasTrans-individual litigation has revolutionized modern law. Specifically,corporate law has partaken in this phenomenon. For instance, derivative suits allow individuals to sue for a large collectivity in relation to corporatematters. This paper aims to analyze this derivative suits, comparing then to shareholder class actions, explaining that the two procedures resemble each other only superficially and that they diverge from each other on a more profound level. Derivative suits aim at the vindication of a genuinely collective and indivisible right, while shareholder class actions seek to enforce an aggregation of individual entitlements. Consequently, these mechanisms also differ in the kind of representation they entail, in theobjective they pursue, in how they construct fairness internally, and in how they approach the central problem of adequacy of representation. An appreciation of this dichotomy contributes to an understanding not only of the inner workings of each of these two devices but also of the corporation itself and of the relationship among the corporate entity, the board of directors, the investors, and even the stakeholders. In addition, it suggests the need for a new interpretation of the key distinction between both actions one should focus on the nature of the right at stake.As ações transindividuais revolucionaram o direito contemporâneo. Especificamente, o direito empresarial tomou parte neste fenômeno. Por exemplo, na ação derivativa, indivíduos – os acionistas – estão legitimados a litigar em nome de uma coletividade, em relação a assuntos da corporação. O objetivo deste artigo é analisar essa ação derivativa, comparando-as com as ações coletivas de acionistas em geral, explicitando que os dois procedimentos detêm apenas similitudes superficiais, mas divergem em nível mais profundo. A ação derivativa objetiva a proteção de um genuíno direito coletivo e indivisível, enquanto as demais ações coletivas de acionistas asseguram uma agregação de direitos individuais. Consequentemente, diferem na forma de representação, sobretudo em sua adequação, na equidade interna do procedimento e no objetivo que perseguem. O estudo dessa dicotomia contribui não só na compreensão dessas duas formas de processo, mas noentendimento da própria corporação e a relação entre ela e a sua diretoria, investidores e mesmo os demais stakeholders. No mais, sugere-se a necessidade de uma nova interpretação para a distinção entre as citadas ações, considerando a natureza do direito em jogo.2016text (article)application/pdfhttps://dialnet.unirioja.es/servlet/oaiart?codigo=5608033(Revista) ISSN 2177-7055Seqüência: estudos jurídicos e políticos, ISSN 2177-7055, Vol. 37, Nº. 73, 2016, pags. 37-74engLICENCIA DE USO: Los documentos a texto completo incluidos en Dialnet son de acceso libre y propiedad de sus autores y/o editores. Por tanto, cualquier acto de reproducción, distribución, comunicación pública y/o transformación total o parcial requiere el consentimiento expreso y escrito de aquéllos. Cualquier enlace al texto completo de estos documentos deberá hacerse a través de la URL oficial de éstos en Dialnet. Más información: https://dialnet.unirioja.es/info/derechosOAI | INTELLECTUAL PROPERTY RIGHTS STATEMENT: Full text documents hosted by Dialnet are protected by copyright and/or related rights. This digital object is accessible without charge, but its use is subject to the licensing conditions set by its authors or editors. Unless expressly stated otherwise in the licensing conditions, you are free to linking, browsing, printing and making a copy for your own personal purposes. All other acts of reproduction and communication to the public are subject to the licensing conditions expressed by editors and authors and require consent from them. Any link to this document should be made using its official URL in Dialnet. More info: https://dialnet.unirioja.es/info/derechosOAI