Section 268(2)

In considering whether to grant leave to raise derivative proceedings or an application under section 267, the court must take into account, in particular— whether the member is acting in good faith in seeking to raise or continue the proceedings (as the case may be), the importance that a person acting in accordance with section 172 (duty to promote the success of the company) would attach to raising or continuing them (as the case may be), where the cause of action is an act or omission that is yet to occur, whether the act or omission could be, and in the circumstances would be likely to be— authorised by the company before it occurs, or ratified by the company after it occurs, where the cause of action is an act or omission that has already occurred, whether the act or omission could be, and in the circumstances would be likely to be, ratified by the company, whether the company has decided not to raise proceedings in respect of the same cause of action or to persist in the proceedings (as the case may be), whether the cause of action is one which the member could pursue in his own right rather than on behalf of the company.

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Source: legislation.gov.uk · retrieved 2026-09-04