A shareholder shall not commence a derivative proceeding until:

1. (1) A written demand has been made upon the corporation to take suitable action; and

2. (2) Ninety days have expired from the date the delivery of the demand was made unless

   1. (A) The shareholder has earlier been notified that the demand has been rejected by the corporation; or
   2. (B) Irreparable injury to the corporation would result by waiting for the expiration of the 90-day period.

History

July 2, 2011, D.C. Law 18-378, § 2, 58 DCR 1720

Mar. 5, 2013, D.C. Law 19-210, § 2(c)(15), 59 DCR 13171

Editor's Notes

Application of Law 19-210: Section 7 of D.C. Law 19-210 provided that the act shall apply as of January 1, 2012.

Effect of Amendments

The 2013 amendment by D.C. Law 19-210 substituted “the delivery of the demand” for “the demand” in (2).