South Dakota Code § 46A-9-86

Director or employee benefit from contract authorized--Direct benefit described
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For purposes of §
46A-9-85
, a direct benefit from a contract is derived if the director or employee, the spouse of the director or employee, or any other person with whom the director or employee lives and commingles assets:
(1) Has more than a five percent ownership interest in an entity that is a party to the contract;
(2) Derives income, compensation, or commission directly from the contract or from an entity that is a party to the contract;
(3) Acquires real or personal property under the contract; or
(4) Serves as a director on the board of a for-profit entity that:
(a) Derives income or a commission from the contract; or
(b) Acquires real or personal property under the contract.
A direct benefit is not derived solely from the value associated with any investment or holdings by a director or employee, the spouse of the director or employee, or any other person with whom the director or employee lives and commingles assets.

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