California Corporations Code

§ 7710

CORP § 7710Div. 2 · Title 1 · Part 3 · Ch. 7

Statute text

(a)Subdivisions (c) through (f) notwithstanding, no motion to require a bond shall be granted in an action brought by 100 members or the authorized number (Section 5036), whichever is less.

(b)No action may be instituted or maintained in the right of any corporation by any member of such corporation unless both of the following conditions exist:

(1)The plaintiff alleges in the complaint that plaintiff was a member at the time of the transaction or any part thereof of which plaintiff complains, or that plaintiff’s membership thereafter devolved upon plaintiff by operation of law from a holder who was a holder at the time of transaction or any part thereof complained of; and

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Legislative history

Amended by Stats. 1982, Ch. 517, Sec. 189.