Colo. Rev. Stat. § 7-58-1301 – Derivative action. | Midpage

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Colorado Revised Statutes (C.R.S.)

§ 7-58-1301

Colo. Rev. Stat. § 7-58-1301

Derivative action.

Effective Apr 2, 2012L. 2011: Entire article added, (SB 11-191), ch. 197, p. 809, § 1, effective April 2, 2012.

(1) A member may maintain a derivative action to enforce a right of a limited cooperative association if:
1. (a) The member demands in a record that the association bring an action to enforce the right; and
2. (b) Any of the following occur:
  1. (I) The association does not, within ninety days after the association receives the demand, agree to bring the action;
  2. (II) The association notifies the member in a record that it has rejected the demand;
  3. (III) Irreparable harm to the association would result by waiting ninety days after the association receives the demand; or
  4. (IV) The association agrees to bring an action demanded and fails to bring the action within a reasonable time.

Source: L. 2011: Entire article added, (SB 11-191), ch. 197, p. 809, § 1, effective April 2, 2012.