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District of Columbia · Through 2026-08-20 (D.C. Law 26-175)

D.C. Code § 29-1206.13: Proceeds and expenses.

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Where this section sits in the code
  1. Title 29. Business Organizations. [Enacted title]
  2. Chapter 12. Statutory Trusts.
  3. Subchapter VI. Beneficial Owners.

(a)

Except as otherwise provided in subsection (b) of this section:

(1)

Any proceeds or other benefits of a derivative action on behalf of a statutory trust, whether by judgment, compromise, or settlement belong to the trust and not to the plaintiff; and

(2)

If the plaintiff receives any proceeds, the plaintiff shall immediately remit them to the trust.

(b)

If a derivative action on behalf of a statutory trust is successful in whole or in part, the court may award the plaintiff reasonable attorneys’ fees, costs, and other expenses from the recovery by the trust.

(c)

A derivative action on behalf of a statutory trust shall not be voluntarily dismissed or settled without the court’s approval.

Collected 2026-08-29T05:44:07Z. Source file · JSON

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