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Utah Code § 48-5-405

Failure event

Renumbered and Amended by Chapter 92, 2026 General Session; Enacted by Chapter 85, 2023 General Session; End date 10/1/2026

(1) In the case of a failure event, legal personality and limited liability are maintained to the extent necessary to protect decentralized autonomous organization members and participants from personal liability.

(2) A failure event may trigger liability on the person deploying or upgrading the decentralized autonomous organization if that person:

(a) acted in bad faith; or

(b) engaged in gross negligence.

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