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Wis. Stat. § 181.0741

Derivative proceedings; standing

Applied in 1 court decision — leading case Ewer v. Lake Arrowhead Ass'n (2012)

Most recently applied in Ewer v. Lake Arrowhead Ass'n (May 2012)

1997 a. 79

A derivative proceeding may be brought in the right of a corporation or foreign corporation to procure a judgment in its favor by one or more members having 5 percent or more of the voting power or by 50 members, whichever is less, if each of these members meets all of the following conditions:

(1) MEMBERSHIP. The member was a member of the corporation at the time of the act or omission complained of or became a member through transfer by operation of law from a person who was a member at that time.

(2) REPRESENTING CORPORATION’S INTERESTS. The member fairly and adequately represents the interests of the corporation in enforcing the right of the corporation.

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