LIS

Virginia Law

Code of Virginia

Table of Contents » Title 13.1. Corporations » Chapter 9. Virginia Stock Corporation Act » Article 8.1. Derivative Proceedings and Other Shareholder Actions » § 13.1-672.2. Discontinuance or settlement

Creating a Report: Check the sections you'd like to appear in the report, then use the "Create Report" button at the bottom of the page to generate your report. Once the report is generated you'll then have the option to download it as a pdf, print or email the report.

Code of Virginia
Title 13.1. Corporations
Chapter 9. Virginia Stock Corporation Act

1/12/2025

§ 13.1-672.2. Discontinuance or settlement.

A. A derivative proceeding may not be settled or discontinued without the court's approval. If the court determines that a proposed discontinuance or settlement will substantially and adversely affect the interests of the corporation's shareholders or a class or series of the corporation's shareholders, the court shall direct that notice be given to the shareholders affected.

B. Notice required by subsection A shall be given in such manner as the court shall determine, and the costs of such notice shall be borne in such manner as the court shall direct.

1992, c. 802; 2019, c. 734.

The chapters of the acts of assembly referenced in the historical citation at the end of this section may not constitute a comprehensive list of such chapters and may exclude chapters whose provisions have expired.