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Utah Code § 48-3a-806

Proceeds and expenses

Known as the Utah Revised Uniform Limited Liability Company Act

The act spans §§ 48–48 (140 sections).

Applied in 1 court decision — leading case 2023 UT App 71 - Rockwell Transport v. Hooper (2023)

Most recently applied in 2023 UT App 71 - Rockwell Transport v. Hooper (July 2023)

Renumbered and Amended by Chapter 93, 2026 General Session; Enacted by Chapter 412, 2013 General Session; End date 10/1/2026

(1) Except as otherwise provided in Subsection (2):

(a) any proceeds or other benefits of a derivative action, whether by judgment, compromise, or settlement, belong to the limited liability company and not to the plaintiff; and

(b) if the plaintiff receives any proceeds, the plaintiff shall remit them immediately to the limited liability company.

(2) If a derivative action is successful in whole or in part, the court may award the plaintiff reasonable expenses, including reasonable attorney's fees and costs, from the recovery of the limited liability company.

(3) A derivative action on behalf of a limited liability company may not be voluntarily dismissed or settled without the court's approval.

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