Section 1901 – Definition.

Effective 5/14/2019
16-10a-1901. Definition.
As used in this part:

• (1) “Oppressive conduct” means a continuing course of conduct, a significant action, or a series of actions that substantially interferes with the interests of a shareholder as a shareholder.

• (2) “Oppressive conduct” may include:
  • (a) termination of a shareholder’s employment; or
  • (b) limitations on a shareholder’s employment benefits to the extent that the limitations interfere with distributions or other shareholder interests disproportionately as to the affected shareholder.

• (3) “Oppressive conduct” does not include an action allowed by an agreement, the corporation’s articles of incorporation, the corporation’s bylaws, or a consistently applied written corporate policy or procedure.

Enacted by Chapter 272, 2019 General Session