Sec. 112.50. Grounds for judicial dissolution.
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/il/chapter-805/act-105/112-50A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Sec. 112.50. Grounds for judicial dissolution. A Circuit Court may dissolve a corporation:
(a)In an action by the Attorney General, if it is established that:
(1)the corporation filed its articles of incorporation through fraud;
(2)the corporation has continued to exceed or abuse the authority conferred upon it by
law, or has continued to violate the law, after notice of the same has been given to such corporation, either personally or by registered mail;
(3)any interrogatory propounded by the Secretary of State to the corporation, its
officers or directors, as provided in this Act, has been answered falsely or has not been answered fully within 30 days after the mailing of such interrogatories by the Secretary of State or within such extension of time as shall have been authorized by the Secretary of State;
(4)the corporation has solicited money and failed to use the money for the purpose
which it was solicited, or has fraudulently solicited money or fraudulently used the money solicited; or
(5)the corporation has substantially and willfully violated the provisions of the
Consumer Fraud and Deceptive Business Practices Act.
(b)In an action by a member entitled to vote, or a director, if it is established that:
(1)the directors are deadlocked, whether because of even division in the number thereof
or because of greater than majority voting requirements in the articles of incorporation or the bylaws, in the management of the corporate affairs; the members are unable to break the deadlock; and irreparable injury to the corporation is thereby caused or threatened;
(2)the directors or those in control of the corporation have acted, are acting, or will
act in a manner that is illegal, oppressive or fraudulent;
(3)the corporate assets are being misapplied or wasted; or
(4)the corporation is unable to carry out its purposes.
(c)In an action by a creditor, if it is established that:
(1)the creditor's claim has been reduced to judgment, the judgment has been returned
unsatisfied, and the corporation is insolvent; or
(2)the corporation has admitted in writing that the creditor's claim is due and owing,
and the corporation is insolvent.
(d)In an action by the corporation to dissolve under court supervision, if it is established that the corporation is unable to carry out its purposes.