Arkansas § 4-38-806 Proceeds and expenses

Arkansas Statutes

§ 4-38-806 — Proceeds and expenses

Arkansas § 4-38-806

Title4

This text of Arkansas § 4-38-806 (Proceeds and expenses) 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. § 4-38-806 (2026).

Text

(a)Except as otherwise provided in subsection (b):

(1)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 (2) if the plaintiff receives any proceeds, the plaintiff shall remit them immediately to the company.

(b)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.

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

Free access — add to your briefcase to read the full text and ask questions with AI

(a) Except as otherwise provided in subsection (b): (1) 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 (2) if the plaintiff receives any proceeds, the plaintiff shall remit them immediately to the company. (b) 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. (c) A derivative action on behalf of a limited liability company may not be voluntarily dismissed or settled without the court's approval.