(1) A derivative action to enforce a right of a limited cooperative association may be maintained only by a person that:
(a) Is a member or a dissociated member at the time the action is commenced and:

Ask a business law question, get an answer ASAP!
Thousands of highly rated, verified business lawyers.
Click here to chat with a lawyer about your rights.

Terms Used In Kentucky Statutes 272A.13-020

  • Action: includes all proceedings in any court of this state. See Kentucky Statutes 446.010
  • Cooperative: means a limited cooperative association or an entity organized under any cooperative law of any jurisdiction. See Kentucky Statutes 272A.1-020
  • Member: means a person that is admitted as a patron member or investor member, or both, in a limited cooperative association. See Kentucky Statutes 272A.1-020
  • Plaintiff: The person who files the complaint in a civil lawsuit.

1. Was a member when the conduct giving rise to the action occurred; or
2. Whose status as a member devolved upon the person by operation of law or the organic rules from a person that was a member at the time of the conduct; and
(b) Adequately represents the interests of the association.
(2) If the sole plaintiff in a derivative action dies while the action is pending, the court may permit another member who meets the requirements of subsection (1) of this section to be substituted as plaintiff.
Effective: July 12, 2012
History: Created 2012 Ky. Acts ch. 160, sec. 100, effective July 12, 2012.