47-1A-741. Standing.
66 words·~1 min read·
/sd/title-47/chapter-47-1/47-1a-741A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
No shareholder may commence or maintain a derivative proceeding unless the shareholder:
(1)Was a shareholder of the corporation at the time of the act or omission complained of or became a shareholder through transfer by operation of law from one who was a shareholder at that time; and
(2)Fairly and adequately represents the interests of the corporation in enforcing the right of the corporation.