Public-domain · open source
OpenJurist

S.D. Codified Laws § 47-34A-1102

Derivative action

Known as the South Dakota Limited Liability Company Act

The act spans §§ 47–47 (113 sections).

Source: SL 1998, ch 272, § 1102; SL 2013, ch 233, § 40.

A member may maintain a derivative action to enforce a right of a limited liability company if:

(1) The member first makes a demand on the other members in a member-managed limited liability company, or the managers of a manager-managed limited liability company, requesting that they cause the company to bring an action to enforce the right, and the managers or other members do not bring the action within a reasonable time; or

(2) A demand under paragraph (1) would be futile.

Official source: South Dakota Legislature. Reproduced from public-domain South Dakota statutes; confirm against the official source for the current text. Not legal advice.