THE OPPRESSION REMEDY: PERSONAL OR DERIVATIVE?

Abstract

One of the more important issues arising, under the statutory oppression remedy is whether the remedy embraces actions of a derivative character, in addition to those of a purely personal character. This is an issue that the courts are only now beginning to grapple with, and as yet no clear consensus view has emerged The better view is that actions of a derivative character may only be commenced with leave of the court under the statutory derivative action provision. Otherwise, the requirement for leave, which can easily be supported on formative grounds, would be rendered nugatory. However, statutory amendments are warranted to eliminate unsupportable differences inprocedure, costs, remedies and the substantive standard of liability as between derivative and oppression actions.