Sec. 3. A benefit enforcement proceeding may be commenced or maintained only:

(1) directly by the benefit corporation; or

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Terms Used In Indiana Code 23-1.3-9-3

  • 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.
(2) derivatively in accordance with IC 23-1-32 by:

(A) a person or group of persons that owned at least two percent (2%) of the total number of shares of a class or series outstanding at the time of the act or omission complained of;

(B) a director;

(C) a person or group of persons that owned at least five percent (5%) of the outstanding equity interests in an entity of which the benefit corporation is a subsidiary at the time of the act or omission complained of; or

(D) other persons as specified in the benefit corporation’s articles of incorporation or bylaws.

As added by P.L.93-2015, SEC.3.