KRS 362.2-935: Proceeds and expenses.

(1) Except as otherwise provided in subsection (2) of this section:

(a) Any proceeds or other benefits of a derivative action, whether by judgment,

compromise, or settlement, belong to the limited partnership and not to the

derivative plaintiff;

(b) If the der ivative plaintiff receives any of those proceeds, then the derivative

plaintiff shall immediately remit them to the limited partnership.

(2) If a derivative action is successful in whole or in part, then the court may award the

plaintiff reasonable expense s, including reasonable attorney's fees, from the

recovery of the limited partnership.

(3) On termination of the proceeding brought pursuant to this section, the court may

require the plaintiff to pay any defendant's reasonable expenses, including counsel

fees, incurred in defending the proceeding to the extent it finds that the proceeding

or any portion thereof was commenced without reasonable cause or for an improper

purpose.