D.C. Code § 29-1303.05

Current through codified legislation effective October 30, 2024
Section 29-1303.05 - Right of action
(a) Except in a benefit enforcement proceeding, no person may bring an action or assert a claim against a benefit corporation or its directors or officers with respect to:
(1) Failure to pursue or create general public benefit or a specific public benefit set forth in its articles of incorporation; or
(2) Violation of a duty or standard of conduct under this chapter.
(b) A benefit corporation shall not be liable for monetary damages under this chapter for any failure of the benefit corporation to pursue or create general public benefit or a specific public benefit.
(c) A benefit enforcement proceeding may be commenced or maintained only:
(1) Directly by the benefit corporation; or
(2) Derivatively by:
(A) A shareholder;
(B) A director;
(C) A person or group of persons that owns beneficially or of record 5% or more of the equity interests in an entity of which the benefit corporation is a subsidiary; or
(D) Other persons as specified in the articles of incorporation or bylaws of the benefit corporation.

D.C. Code § 29-1303.05

May 1, 2013, D.C. Law 19-305, § 2(b), 60 DCR 2735.