Utah § 10a-851 - Judicial action.

Full text of Utah Utah Code § 10a-851 — Judicial action., with citation guidance and answers to common questions.

§ 10a-851. Judicial action.

16-10a-851.  Judicial action.
(1) A transaction effected or proposed to be effected by a corporation or by any entity controlled by the corporation that is not a director's conflicting interest transaction may not be enjoined, be set aside, or give rise to an award of damages or other sanctions, in a proceeding by a shareholder or by or in the right of the corporation, solely because a director, or any person with whom or which the director has a personal, economic, or other association, has an interest in the transaction.
(2) A director's conflicting interest transaction may not be enjoined, be set aside, or give rise to an award of damages or other sanctions, in a proceeding by a shareholder or by or in the right of the corporation, solely because the director, or any person with whom or which the director has a personal, economic, or other association, has an interest in the transaction, if:
(a) directors' action respecting the transaction was at any time taken in compliance with Section 16-10a-852;
(b) shareholders' action respecting the transaction was at any time taken in compliance with Section 16-10a-853; or
(c) the transaction, judged according to the circumstances at the time of commitment, is established to have been fair to the corporation.


Enacted by Chapter 277, 1992 General Session

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Frequently Asked Questions About Utah § 10a-851

What does Utah Code § 10a-851 cover?

Section 10a-851 ("Judicial action.") is part of the Utah Code, the codified statutory law of Utah. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite Utah § 10a-851?

A common citation format is "Utah Code § 10a-851" (Utah). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of Utah law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Utah official source linked on this page or consult a licensed Utah attorney.

How does Utah § 10a-851 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Utah can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in Utah.