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§ 228. Judicial proceedings regarding validity of entity actions

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 15 Pa.C.S.A. Corporations and Unincorporated AssociationsEffective: January 3, 2023

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 15 Pa.C.S.A. Corporations and Unincorporated Associations (Refs & Annos)
Part I. Preliminary Provisions (Refs & Annos)
Chapter 2. Entities Generally (Refs & Annos)
Subchapter B. Ratification of Defective Entity Actions (Refs & Annos)
Effective: January 3, 2023
15 Pa.C.S.A. § 228
§ 228. Judicial proceedings regarding validity of entity actions
Currentness
(a) Standing.--Subject to subsection (f), review of a ratification under this subchapter or of a defective entity action may be commenced in the court by:
(1) the ratifying entity; or
(2) a person that, at the time of the defective action or its ratification, was:
(i) a successor to the ratifying entity;
(ii) a governor of the ratifying entity;
(iii) an interest holder or beneficial owner of an interest in the ratifying entity or in a previous entity; or
(iv) materially and adversely affected by the ratification.
(b) Parties.--No other party in addition to the ratifying entity need be joined in order for the court to adjudicate the matter. In an action filed by the ratifying entity, the court may require notice of the action be provided to other persons specified by the court and permit such other persons to intervene in the action.
(c) Determination by the court.--In an action under this section, the court may:
(1) determine the validity and effectiveness of a ratification under this subchapter;
(2) determine the validity and effectiveness of any defective entity action not ratified under this subchapter; and
(3) establish conditions upon the validity or effectiveness of a ratification or defective entity action reviewed by the court.
(d) Time limitation.--Notwithstanding any other provision of applicable law, an action asserting that the ratification of a defective entity action and any putative interests issued as a result of the ratification of the defective entity action should not be valid must be brought within 120 days after notice has been given as provided in section 224(b) (relating to action on ratification) or 225 (relating to optional notice).
(e) Effect on validation effective time.--The validation effective time shall not be affected by the filing or pendency of a judicial proceeding under this section or otherwise, unless otherwise ordered by the court.
(f) Exclusivity.--An action to review a ratification under this subchapter may be brought only by a person identified in subsection (a) and only in the court.

Credits

2022, Nov. 3, P.L. 1791, No. 122, § 11, effective in 60 days [Jan. 3, 2023].
15 Pa.C.S.A. § 228, PA ST 15 Pa.C.S.A. § 228
Current through Act 13 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
End of Document