(1) A derivative action may be maintained only by a person that is a partner at the time the action is commenced and:
(a) That was a partner when the conduct giving rise to action occurred; or

Terms Used In Kentucky Statutes 362.2-933

  • Action: includes all proceedings in any court of this state. See Kentucky Statutes 446.010
  • Partner: means a limited partner or general partner. See Kentucky Statutes 362.2-102
  • Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
  • Partnership: includes both general and limited partnerships. See Kentucky Statutes 446.010
  • Person: means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, government, governmental subdivision, agency, or instrumentality, or any other legal or commercial entity. See Kentucky Statutes 362.2-102

(b) Whose status as a partner devolved upon the person by operation of law or pursuant to the terms of the partnership agreement from a person that was a partner at the time of that conduct.
(2) The derivative proceeding shall not be maintained if:
(a) It appears that the person commencing the proceeding does not fairly and adequately represent the interests of the partners in enforcing the rights of the limited partnership; or
(b) The person commencing the proceeding ceases to be a partner in the limited partnership.
Effective:June 29, 2017
History: Amended 2017 Ky. Acts ch. 193, sec. 20, effective June 29, 2017. — Created 2006 Ky. Acts ch. 149, sec. 173, effective July 12, 2006.
Formerly codified as KRS § 362.2-1003.