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Code · North Carolina · Chapter 57D — North Carolina Limited Liability Company Act

§ 57D-8-05. Payment of expenses.

179 words·~1 min read·/nc/chapter-57d/57d-8-05

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§ 57D-8-05. Payment of expenses.
On termination of the derivative proceeding, the court may do any of the following:
(1)Order the LLC to pay the plaintiff's expenses, including attorneys' fees, incurred in the proceeding if it finds that the proceeding has resulted in a substantial benefit to the LLC.
(2)Order the plaintiff to pay any defendant's expenses, including attorneys' fees, incurred in defending the proceeding if it finds that the proceeding was commenced or maintained without cause or for an improper purpose.
(3)Order a party to pay an opposing party's expenses, including attorneys' fees, incurred as a result of the filing of a pleading, motion, or other paper, if the court after inquiry finds that the pleading, motion, or other paper was not well grounded in fact or was not warranted by existing law or a good-faith argument for the extension, modification, or reversal of existing law and that it was interposed for an improper purpose, such as to harass or to cause unnecessary delay or needless increase in the cost of litigation. (2013-157, s. 2.)
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