§ 7-90-903 — Effect of delinquency

(1) A delinquent entity may not maintain a
proceeding in any court in this state for the collection of its debts until it has cured
its delinquency pursuant to section 7-90-904 (1), (2), or (3).

(2) A court may stay a proceeding commenced by an entity until it
determines whether the entity is delinquent. If the court determines that the entity
is delinquent, it may further stay the proceeding until the entity cures its
delinquency pursuant to section 7-90-904. If a delinquent entity cures its
delinquency in accordance with section 7-90-904, no proceeding in any court in this
state to which such entity is a party shall thereafter be dismissed by reason of that
instance of delinquency.

(3) The delinquency of an entity does not terminate the authority of the
registered agent of the entity.

(4) The existence of a domestic entity continues notwithstanding its
delinquency.

(5) A delinquent domestic entity may be dissolved at any time and by any
manner as may be provided or permitted by its constituent documents and organic
statutes and, if it has failed to cure its delinquency for three years or more, the
delinquent domestic entity may be dissolved pursuant to section 7-90-908.

Legislative History

Source: L. 2005: Entire part added, p. 1213, � 20, effective October 1.