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Gilda Lim, et al vs Patricia Lim-Yu

GILDA C. LIM, WILHELMINA V. JOVEN and DITAS A. LERIOS, petitioners, vs. PATRICIA LIM-YU, in her capacity as a minority stockholder of LIMPAN INVESTMENT CORPORATION, respondent.

G.R. No. 138343 | 2001-02-19

D E C I S I O N

PANGANIBAN, J.:

A suit to enforce preemptive rights in a corporation is not a derivative suit. Thus, a temporary restraining order enjoining a person from representing the corporation will not bar such action, because it is instituted on behalf and for the benefit of the shareholder, not the corporation.

Statement of the Case

Petitioners seek the reversal,[1] under Rule 45 of the Rules of Court, of the July 31, 1998 Decision[2] of the Court of Appeals[3] (CA) in CA-GR SP No. 46292 and of its March 25, 1999 Resolution[4] denying reconsideration. The decretal portion of the appealed Decision, which affirmed the Securities...