The Company’s Board of Directors is authorized to decide to file a claim on behalf of the Company against the controlling shareholder

A dispute between minority and majority shareholders in a private company occurred and the Company's board of directors decided to file a claim against the majority shareholder.

The Court held that the power to submit claims on behalf of a company is subject to the Company's Board of Directors. When the Board of Directors fails to act, a shareholder may file a derivative claim on behalf of the Company. However, when the Company's Board of Directors has decided to conduct a claim on behalf of the Company, it has the power to file a "regular" claim on behalf of the Company against the Company's controlling shareholder, in a proper proceeding and without a conflict of interests.