A a shareholder in a company sues B C and D the directors to recover damages on his own behalf for f...........

Civil Procedure Code (CPC) 1908 Institution of Suits

A, a shareholder in a company, sues B, C and D, the directors, to recover damages on his own behalf for fraudulently indicting him to purchase shares by declaring an illegal dividend; and he joins in the same suit a claim on behalf of himself and all other shareholders.

A is not entitled to join both causes of action in one suit, because the right to relief claimed in his personal capacity

A is not entitled to join both causes of action in one suit, because the right to relief claimed by him as representing the shareholders do not arise out of the same transaction or series of transactions

Both (A) and (B)

None of these

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Explanation:

- Option 1: A can't join both causes in one suit because his personal claims and the claims representing the shareholders might require separate legal grounds and determinations.

- Option 2: A's claims, both personal and representative, may not stem from a single transaction or related series, complicating joint litigation.

- Option 3: This suggests both reasons (from Options 1 and 2) apply simultaneously, presenting a complex legal barrier to joining the claims.

- Option 4: Suggests neither of the given reasons suffice to prevent A from joining his claims, contradicting Options 1 and 2.

Correct Answer: Option 3 - Both (A) and (B)