Utah Code 48-2e-1006. Proceeds and expenses

(1)

Except as otherwise provided in Subsection (2):

Limited partnership: means an entity formed under this chapter or which becomes subject to this chapter under 11, or Section 48-2e-1205. See Utah Code 48-2e-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.
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, whether by judgment, compromise, or settlement, belong to the limited partnership and not to the plaintiff; and

(b)	if the plaintiff receives any proceeds, the plaintiff shall remit them immediately to the limited partnership.

(2)	If a derivative action is successful in whole or in part, the court may award the plaintiff reasonable expenses, including reasonable attorney’s fees and costs, from the recovery of the limited partnership.

(3)	A derivative action on behalf of a limited partnership may not be voluntarily dismissed or settled without the court’s approval.

Enacted by Chapter 412, 2013 General Session