Renumbered 10/1/2026
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/ut/title-48/chapter-4/10-8A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Effective 5/8/2018
Renumbered 10/1/2026
48-4-303. Right of action.
(1)Except in a benefit enforcement proceeding, a person may not bring an action or assert a claim against a benefit company or a benefit company's member, manager, or officer with respect to:
(a)failure to pursue or create general public benefit or a specific public benefit set forth in the benefit company's certificate of organization; or
(b)violation of a duty or standard of conduct under this chapter.
(2)A benefit company is not liable for monetary damages under this chapter for a failure of the benefit company to pursue or create general public benefit or a specific public benefit.
(3)Only the following may commence or maintain a benefit enforcement proceeding:
(a)the benefit company, directly; or
(b)one or more of the following, derivatively:
(i)a member that owned at least 2% of the total number of interests of a class or series outstanding at the time of the act or omission complained of;
(ii)a manager of a manager-managed benefit company;
(iii)a person or group of persons who own beneficially or of record at least 5% of the interests in an association of which the benefit company is a subsidiary at the time of the act or omission complained of; or
(iv)any person or group of persons specified in the benefit company's certificate of organization or operating agreement.
Renumbered and Amended by Chapter 92 , 2026 General Session
Enacted by Chapter 201 , 2018 General Session