In a "Derivative" Lawsuit, the Shareholders File a Claim on Behalf

question 6

True/False

In a "derivative" lawsuit, the shareholders file a claim on behalf of the company and any recovery from managers or directors is paid to the company not to the shareholders

---

Definitions:

Formal Operational Stage

The last stage in Piaget's theory of cognitive development, characterized by the ability to think logically about abstract concepts.

Abstract Thinking

The ability to think about objects, principles, and ideas that are not physically present.

Logical Thinking

The process of using systematic reasoning to reach a conclusion or solve problems.

Irreversibility

In Piaget’s theory, the inability of the young child to mentally reverse an action.