If a derivative proceeding is commenced after a determination has been made rejecting a demand by a shareholder, the complaint shall allege with particularity facts establishing either (1) that a majority of the board of directors did not consist of independent directors at the time the determination was made, or (2) that the requirements of § 47-1A-744 have not been met.

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 South Dakota Codified Laws 47-1A-744.3

  • Complaint: A written statement by the plaintiff stating the wrongs allegedly committed by the defendant.
  • Proceeding: includes civil suit and criminal, administrative, and investigatory action. See South Dakota Codified Laws 47-1A-140

Source: SL 2005, ch 239, § 130.