S.D. Codified Laws § 46A-9-86

Current through the 2024 Legislative Session

Section 46A-9-86 - Director or employee benefit from contract authorized-Direct benefit described

For purposes of § 46A-9-85, a direct benefit from a contract is derived if the director or employee, the spouse of the director or employee, or any other person with whom the director or employee lives and commingles assets:

(1) Has more than a five percent ownership interest in an entity that is a party to the contract;

(2) Derives income, compensation, or commission directly from the contract or from an entity that is a party to the contract;

(3) Acquires real or personal property under the contract; or

(4) Serves as a director on the board of a for-profit entity that:

(a) Derives income or a commission from the contract; or

(b) Acquires real or personal property under the contract.

A direct benefit is not derived solely from the value associated with any investment or holdings by a director or employee, the spouse of the director or employee, or any other person with whom the director or employee lives and commingles assets.

SDCL 46A-9-86

SL 2023, ch 152, §2.

Added by S.L. 2023, ch. 152,s. 2, eff. 7/1/2023.