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Section 4-38-803 - Proper plaintiff — Arkansas Law | CourtGPT
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  4. Title 4 - Business and Commercial Law (§§ 4-1-101 — 4-119-105)/
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  7. Subchapter 8 - Actions by Members/
  8. Section 4-38-803 - Proper plaintiff
Arkansas Legal Code

Section 4-38-803 - Proper plaintiff

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A derivative action to enforce a right of a limited liability company may be maintained only by a person that is a member at the time the action is commenced and:(1) was a member when the conduct giving rise to the action occurred; or(2) whose status as a member devolved on the person by operation of law or pursuant to the terms of the operating agreement from a person that was a member at the time of the conduct.Added by Act 2021, No. 1041,§ 26, eff. 7/28/2021.