Director May Seek Judicial Dissolution Even After Removal From Nonprofit Board

Court says board can’t take action to deny standing and render the law suit moot

The director of a nonprofit corporation seeking a judicial dissolution of the corporation has standing to continue the case even after being removed from the board after filing the complaint, according to the Court of Appeals of Arizona. It has reversed a trial court decision dismissing the case on summary judgment and ordering the plaintiff to pay attorneys fees to the organization. ( Workman v. Verde Wellness Center , Ct. of App., AZ, No. 2 CA 2016-0008, 10/18/16. ) Melinda Workman filed suit against the Verde Wellness Center, a marijuana dispensary, claiming that the other directors had acted illegally, oppressively, or fraudulently and asking for the appointment of a receiver and...

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Director May Seek Judicial Dissolution Even After Removal From Nonprofit Board

Director May Seek Judicial Dissolution Even After Removal From Nonprofit Board