(1) A limited partner may bring an action in the right of a limited partnership to recover a judgment in its favor. In order to bring the action, a limited partner must establish the following:
That those general partners with authority to do so have refused to bring the action orthat an effort to cause those general partners to bring the action is not likely to succeed;
That the general partners' decision not to sue constitutes an abuse of discretion orinvolves a conflict of interest that prevents an unprejudiced exercise of judgment; and
That the plaintiff was a limited partner at the time of the transaction of which theplaintiff complains or the plaintiff's status as a limited partner had devolved upon the plaintiff by operation of law or pursuant to the terms of the partnership agreement from a person who was a partner at the time of the transaction.
Source: L. 81: Entire article added, p. 450, § 1, effective November 1. L. 2004: (1)(c) amended, p. 1447, § 148, effective July 1.