Vt. Stat. Ann. tit. 11C, § 1301
Derivative action
Redline — July 1, 2021 → current.View current text →
Current — June 1, 2022
As of July 1, 2021
A member may maintain a derivative action to enforce a right of a mutual benefit enterprise if:
A member may maintain a derivative action to enforce a right of a mutual benefit enterprise if:
(1) the member demands that the enterprise bring an action to enforce the right; and
(1) the member demands that the enterprise bring an action to enforce the right; and
(2) any of the following occur: the enterprise does not, within 90 days after the member makes the demand, agree to bring the action;
(2) any of the following occur: the enterprise does not, within 90 days after the member makes the demand, agree to bring the action;
(3) the enterprise notifies the member that it has rejected the demand;
(3) the enterprise notifies the member that it has rejected the demand;
(4) irreparable harm to the enterprise would result by waiting 90 days after the member makes the demand; or
(4) irreparable harm to the enterprise would result by waiting 90 days after the member makes the demand; or
(5) the enterprise agrees to bring an action demanded and fails to bring the action within a reasonable time. Added 2011, No. 84 (Adj. Sess.), § 1, eff. April 20, 2012.
(5) the enterprise agrees to bring an action demanded and fails to bring the action within a reasonable time.
Official source: Vermont General Assembly. Reproduced from public-domain Vermont statutes; confirm against the official source for the current text. Not legal advice.