S.D. Codified Laws § 47-1A-861.1

Current through the 2024 Legislative Session

Section 47-1A-861.1 - Judicial action-Director's conflicting interest transaction

A director's conflicting interest transaction may not be enjoined, set aside, or give rise to an award of damages or other sanctions, in a proceeding by a shareholder or by or in the right of the corporation, because the director, or any person with whom or which the director has a personal, economic, or other association, has an interest in the transaction, if:

(1) Directors' action respecting the transaction was at any time taken in compliance with §§ 47-1A-862 to 47-1A-862.3, inclusive;

(2) Shareholders' action respecting the transaction was at any time taken in compliance with §§ 47-1A-863 to 47-1A-863.3, inclusive; or

(3) The transaction, judged according to the circumstances at the time of commitment, is established to have been fair to the corporation.

SDCL 47-1A-861.1

SL 2005, ch 239, §185.