N.D. Cent. Code § 10-32.1-38

Current through 2023 Legislative Sessions

Section 10-32.1-38 - Proceeds and expenses

1. Except as otherwise provided in subsection 2:

a. Any proceeds or other benefits of a derivative action under section 10-32.1-34, whether by judgment, compromise, or settlement, belong to the limited liability company and not to the plaintiff; and

b. If the plaintiff receives any proceeds, then the plaintiff shall remit them immediately to the company.

2. If a derivative action under section 10-32.1-34 is successful in whole or in part, then the court may award the plaintiff reasonable expenses, including reasonable attorney fees and costs, from the recovery of the limited liability company.

N.D.C.C. § 10-32.1-38

Added by S.L. 2015, ch. 87 (HB 1136),§ 19, eff. 7/1/2015.