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solution

The decision in Foss v HARBOTTLE (1843) is in compliance with the doctrine of separate legal personality but it is harsh in representing the minority shareholders.

Most times, it is the directors who normally commit the alleged wrong and it is hardly likely for the company to take an action against them; thus leaving the minority without an apparent remedy.

Required

Research another case to which this decision is relevant and outline the following, as it pertains to the decision in Foss v Harbottle (1843):

  1. What are the principles that underpin the rule in the researched case?

  2. b. How does the law seek to protect the minority shareholders from the

    harshness of the rule in the researched case?

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