In a two dimensional stress system, it is assumed that the principal stress σ1 and σ2 are such that σ1>σ2; then according to the maximum shear stress theory, the failure occurs when (where σy is the yield stress, μ is the Poisson's ratio and E is the modulus of elasticity)
σ1−σ2≥σy
(σ1−σ2)≥σy : Maximum shear stress theory
1E(σ1−μσ2)≥σyE: Maximum principal strain theroy
(σ21+σ22−2μσ1σ2)≥f2y: Maximum strain energy theory
(σ21+σ22−σ1σ2)≥f2y : Distortion energy theory