Bill Text: VA SB1356 | 2011 | Regular Session | Chaptered
Bill Title: Limited liability companies; derivative actions.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2011-03-22 - Governor: Acts of Assembly Chapter text (CHAP0379) [SB1356 Detail]
Download: Virginia-2011-SB1356-Chaptered.html
Be it enacted by the General Assembly of Virginia: 1. That § 13.1-1042 of the Code of Virginia is amended and reenacted as follows: § 13.1-1042. Right of action; standing; condition precedent; stay of proceeding. A. A member B. No member may commence a derivative proceeding until: 1. A written demand has been made on the limited liability company to take suitable action; and 2. Ninety days have expired from the date delivery of the demand was made unless (i) the member has been notified before the expiration of 90 days that the demand has been rejected by the limited liability company or (ii) irreparable injury to the limited liability company would result by waiting until the end of the 90-day period. C. If the limited liability company commences a review and evaluation of the allegations made in the demand or complaint, the court may stay any derivative proceeding for such period as the court deems appropriate. |