Research On The Shareholder Derivative Suits

Shareholder derivative suits(hereinafter referred to as SDS) is a new type of lawsuit system. When the company fails to perform their responsibility,the shareholders of a company have the right to bring a lawsuit against the infringer in their own name. But the revised company law only has the principled regulations and rules,lacking the detailed system arrangement, the standardization and perfection in detail are supposed to be further practiced. The essay's logical starting point is the Article 152 of the company law, and then establish the theoretical principle of SDS from the perspective of substantial and procedural law, and analyze the structure of parties in action. The essay also includes incentive mechanism and restricting mechanism.The former is mainly about companies' compensation responsibility to plaintiffs and proportionate recovery ,the latter is means pro-suit, security of expenses and the liability to pay with the failing plaintiff. Through the methods of comparison, analysis, induction, positivism to improve our lawsuit system.