(a) Proceeds.-- Except as provided in subsection (b): (1) any proceeds or other benefits of a derivative action, whether by judgment, compromise or settlement, belong to the nonprofit corporation and not to the plaintiff; and (2) if the plaintiff or its counsel receives any proceeds, the proceeds shall be remitted immediately to the corporation. (b) Expenses.-- If a derivative action is successful in whole or in part, the court may award the plaintiff reasonable expenses, including reasonable attorney fees and costs, from the recovery of the nonprofit corporation, but in no event shall the attorney fees awarded exceed a reasonable proportion of the value of the relief, including nonpecuniary relief, obtained by the plaintiff for the corporation. SUBCHAPTER G JUDICIAL SUPERVISION OF CORPORATE ACTION Sec. 5791. Corporate action subject to subchapter. 5792. Proceedings prior to corporate action. 5793. Review of contested corporate action.
‹ Prev All Pennsylvania sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.