BUSINESS CORPORATION ACT (EXCERPT)
Act 284 of 1972
As used in this section and sections 492a to 497:
(a) “Derivative proceeding” means a civil suit in the right of a domestic corporation or a foreign corporation that is authorized to or does transact business in this state.
(b) “Shareholder” means a record or beneficial owner of shares and includes a beneficial owner whose shares are held in a voting trust or held by a nominee on the owner's behalf.
(c) “Disinterested director” means a director who is not a party to a derivative proceeding, or a director who is a party if the corporation demonstrates that the claim asserted against the director is frivolous or insubstantial.
History: Add. 1989, Act 121, Eff. Oct. 1, 1989
Am. 1997, Act 118, Imd. Eff. Oct. 24, 1997
© 2009 Legislative Council, State of Michigan