Action to redress a wrong suffered by sbc


Ray is a shareholder of Small Biz Company (SBC). When the directors fail to undertake an action to redress a wrong suffered by SBC, Ray files a suit on the firm's behalf.

Ray's suit is a shareholder's:

a. business-judgment rule suit.
b. derivative suit.
c. duty-of-care suit.
d. duty-of-loyalty suit.

Damages recovered by Ray's suit will go to:

a. Ray.
b. SBC.
c. SBC's directors.
d. the state in which SBC is incorporated.

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Business Management: Action to redress a wrong suffered by sbc
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