SUITS BY STOCKHOLDERS/MEMBERS

1. Derivative Suits – those brought by one or more stockholders/members in the name and on behalf of the corporation to redress wrongs committed against it, or protect/vindicate corporate rights whenever
the officials of the corporation refuse to sue, or the ones to be sued, or has control of the corporation.
2. Individual Actions – those brought by the shareholder in his own name against the corporation when a wrong is directly inflicted against him.
3. Representative Actions – those brought by the stockholder in behalf of himself and all other stockholders similarly situated when a wrong is committed against a group of stockholders.

REQUISITES OF DERIVATIVE ACTIONS:
1. The party bringing the suit should be a shareholder as of the time of the act or transaction complained of;
2. He has exhausted intra-corporate remedies; and
3. The cause of action actually devolved on the corporation, the wrongdoings or harm having
been caused to the corporation and not to the particular stockholder bringing the suit.