Sec. 33-726. Payment of expenses.
Sec. 33-726. Payment of expenses. On termination of the derivative proceeding
the court may:
(1) Order the corporation to pay the plaintiff's reasonable expenses, including attorney's fees, incurred in the proceeding if it finds that the proceeding has resulted in a
substantial benefit to the corporation;
(2) Order the plaintiff to pay any defendant's reasonable expenses, including attorney's fees, incurred in defending the proceeding if it finds that the proceeding was
commenced or maintained without reasonable cause or for an improper purpose; or
(3) Order a party to pay an opposing party's reasonable expenses, including attorney's fees, incurred because of the filing of a pleading, motion or other paper, if it finds
that the pleading, motion or other paper was not well grounded in fact, after reasonable
inquiry, or warranted by existing law or a good faith argument for the extension, modification or reversal of existing law and was interposed for an improper purpose, such as
to harass or to cause unnecessary delay or needless increase in the cost of litigation.
(P.A. 94-186, S. 81, 215; P.A. 96-271, S. 60, 254.)
History: P.A. 94-186 effective January 1, 1997; P.A. 96-271 replaced "counsel" fees with "attorney's" fees where
appearing, effective January 1, 1997.