| (1) |
Except as otherwise provided in Subsection (2):
Terms Used In Utah Code 16-16-1305- Plaintiff: The person who files the complaint in a civil lawsuit.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
| (a) |
any proceeds or other benefits of a derivative action to enforce a right of a limited cooperative association, whether by judgment, compromise, or settlement, belong to the association and not to the plaintiff; and |
| (b) |
if the plaintiff in the derivative action receives any proceeds, the plaintiff shall immediately remit them to the association. |
|
| (2) |
If a derivative action to enforce a right of a limited cooperative association is successful in whole or in part, the court may award the plaintiff reasonable expenses, including reasonable attorney fees and costs, from the recovery of the association. |
Enacted by Chapter 363, 2008 General Session
