51A-17-2.2. Passive investor defined.
For purposes of this chapter, the term, passive investor, means a person that:
(1)Does not have the power to elect a majority of key individuals or executive officers, managers, directors, trustees, or other persons exercising managerial authority of a licensee or controlling person;
(2)Is not employed by and does not have any managerial duties of the licensee or controlling person;
(3)Does not have the power to exercise, directly or indirectly, a controlling influence over the management or policies of a licensee or controlling person; and
(4)Either:
(a)Attests to subdivisions (1), (2), and (3), in a form and in a medium prescribed by the director; or
(b)Commits to the passivity characteristics of subdivisions (1), (2), and (3) in a written document.
Source: SL 2022, ch 178, §3.