Discontinuance or Settlement

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Except as otherwise provided by the articles of organization or written operating agreement, a derivative action may not be discontinued or settled without the court's approval.If the court determines that a proposed discontinuance or settlement will substantially affect the interests of the limited liability company's members, the court shall direct that notice be given to the members affected.

(Code 1981, §14-11-804, enacted by Ga. L. 1993, p. 123, § 1.)

RESEARCH REFERENCES

ALR.

- Construction and application of limited liability company acts - issues relating to derivative actions and actions between members of limited liability company, 48 A.L.R.6th 1.


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