Arkansas § 4-38-802 Derivative action

Arkansas Statutes

§ 4-38-802 — Derivative action

Arkansas § 4-38-802

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This text of Arkansas § 4-38-802 (Derivative action) is published on Counsel Stack Legal Research, covering Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ark. Code Ann. § 4-38-802 (2026).

Text

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.

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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.