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Eric Geringswald
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Eric Geringswald Posted on : Insider Community

Utah lawmakers create a cause of action for oppressive conduct in a closely held corporation

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In Utah, a shareholder of a closely held corporation who is injured by oppressive conduct may now bring a private cause of action against the entity. If a court finds that oppressive conduct occurred, the court can order the entity, its officers, directors, and/or other shareholders responsible for the oppressive action to purchase the injured shareholder's shares at fair value.

This new law was one of more than 20 amended or enacted sections that came out of the 2019 Utah legislative session. Another notable addition was the approval of a new targeted business income tax credit designed to promotes private investment and job creation in rural Utah counties with populations less than 25,000 people.

These changes are captured in the 2019 Edition of CSCPublishing’s Utah Laws Governing Business Entities Annotated.

The 2019 Edition also includes over a dozen new case notes summarizing recent judicial interpretations of the law, as well as up-to-date Fee Tables that provide the filing fees for business entity documents required by the Secretary of State.

The companion CD-ROM contains over 60 forms for incorporation/formation, qualification, mergers, dissolution, and name reservation for all business entity types in Utah. A listing of forms and contact information for Utah’s Division of Corporations and Commercial Code can be found in the book’s appendix. New in 2019! Readers can now easily access these forms on the Lexis Online Download Center.

As with CSC’s other annotated statutory collections, Utah Laws Governing Business Entities Annotated is available in print and electronic formats and is part of the LexisNexis Digital Library.

These features, together with the up-to-date annotated business entity legislation for the state, make this publication a valued resource for the legal and business communities in Utah and the surrounding region.