Terms Used In Louisiana Revised Statutes 12:1-1437

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.

A.  On motion by the corporation, a court shall stay a duplicative proceeding by a shareholder who has given a notice of withdrawal to the corporation as provided in La. Rev. Stat. 12:1-1435(D).  The court shall lift the stay on motion by the shareholder when a judgment denying the shareholder’s right to withdraw becomes final and definitive.

B.  For purposes of this Section, a “duplicative proceeding” is any proceeding in which a shareholder, on his own behalf or as a representative of the corporation, alleges a cause of action against the corporation, or against a director, officer, agent, employee, or controlling person of the corporation, on grounds of a breach of duty owed by that person to the corporation or to the shareholder in the shareholder’s capacity as shareholder.

Acts 2014, No. 328, §1, eff. Jan. 1, 2015.