Section 7-80-713 - Derivative proceeding - standing - definitions

(1) A member may commence or maintain a derivative proceeding pursuant to this part 7 only where: (a) The member was a member of the limited liability company at the time of the act or omission complained of or the membership interest in such company thereafter devolved by operation of law; and(b) It appears that the member fairly and adequately represents the interests of the members similarly situated in enforcing the right of the limited liability company.(2) For purposes of this part 7, 'derivative proceeding' means a civil suit in the right of a domestic limited liability company or, to the extent provided in section 7-80-719, in the right of a foreign limited liability company.L. 2002: Entire section added, p. 1725, § 160, effective October 1.