§ 12:1-745 — Discontinuance or settlement

Louisiana § 12:1-745

• Jurisdiction: Louisiana
• Title 12: Conservation of Cultural Resources

Text

A. Unless approved unanimously by the shareholders of the corporation, a derivative proceeding may not be discontinued or settled without the court's approval. If the court determines that a proposed discontinuance or settlement will substantially affect the interests of the corporation's shareholders or a class of shareholders, the court shall direct that notice be given to the shareholders affected.
B. This Section does not affect the plaintiff's right under Article 1671 of the Code of Civil Procedure to obtain a judgment of dismissal without prejudice if the application for dismissal is made before any defendant, including the corporation in its capacity as a defendant, makes any appearance of record in the proceeding.

Legislative History

Acts 2014, No. 328, §1, eff. Jan. 1, 2015.