§ 29-1013.01 — Derivative action.

District of Columbia § 29-1013.01

• Jurisdiction: District of Columbia
• Title 29: Business Organizations. [Enacted title]
• Ch. 10: Limited Cooperative Associations.
• Subch. XIII: Action by Member.

Text

A member may maintain a derivative action in the Superior Court to enforce a right of a limited cooperative association if:

(1) The member demands that the association bring an action to enforce the right; and

(2) Any of the following occur:

(A) The association does not, within 90 days after the member makes the demand, agree to bring the action;

(B) The association notifies the member that it has rejected the demand;

(C) Irreparable harm to the association would result by waiting 90 days after the member makes the demand;

(D) The association agrees to bring an action demanded and fails to bring the action within a reasonable time; or

(E) A demand under paragraph (1) of this subsection would be futile.

Legislative History

July 2, 2011, D.C. Law 18-378, § 2, 58 DCR 1720; Mar. 5, 2013, D.C. Law 19-210, § 2(j)(9)(A), 59 DCR 13171