Do corporations benefit from shareholders’ derivative suits? If so, how?

Today, most of the claims brought against directors and officers in the United States are those alleged in shareholders’ derivative suits. Other nations, however, put more restrictions on the use of such suits. German law, for example, does not provide for derivative litigation, and a corporation’s duty to its employees is just as significant as its duty to its shareholder-owners. The United Kingdom has no statute authorizing derivative actions, which are permitted only to challenge directors’ actions that the shareholders could not legally ratify. Japan authorizes derivative actions but also permits a company to sue the plaintiff-shareholder for damages if the action is unsuccessful.