Code of Virginia § 13.1-672.2. Discontinuance or settlement.
97 words·~1 min read·
/va/title-13-1/chapter-9/13-1-672-2·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
A. A derivative proceeding may not be settled or discontinued without the court's approval. If the court determines that a proposed discontinuance or settlement will substantially and adversely affect the interests of the corporation's shareholders or a class or series of the corporation's shareholders, the court shall direct that notice be given to the shareholders affected.
B. Notice required by subsection A shall be given in such manner as the court shall determine, and the costs of such notice shall be borne in such manner as the court shall direct.
1992, c. 802; 2019, c. 734 .