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This research is geared toward identifying the adequacy of the Ethiopian commercial legal framework in regulating derivative actions. Thoroughly, this analysis offers valuable insights into the derivative claim provisions of the Ethiopian Commercial Code of 2021. Through a comparative analysis of these provisions with those in prominent company acts of other jurisdictions, the strengths and limitations of the Ethiopian legal framework are illuminated. The recognized limitations emphasize the need for ongoing enhancement, prompting policymakers to contemplate reforms aimed at promoting transparency and inclusivity in the dynamic corporate management landscape of Ethiopia.