Ala. Code § 10A-2A-7.42

Current with legislation from 2024 effective through May 17, 2024.

Section 10A-2A-7.42 - Standing

A stockholder may commence or maintain a derivative action in the right of the corporation only if the stockholder:

(1) fairly and adequately represents the interests of the corporation in enforcing the right of the corporation; and

(2) either:

(A) was a stockholder of the corporation at the time of the act or omission of which the stockholder complains; or

(B) whose status as a stockholder devolved upon the person by operation of law from a person who was a stockholder at the time of the act or omission of which the stockholder complains.

Ala. Code § 10A-2A-7.42 (1975)

Added by Act 2019-94,§ 1, eff. 1/1/2020.