§ 1802 Corporate Deadlock Provisional Directors

Corporations Code·California

AI SummaryVerified

This law says that if a company's board is stuck and can't make decisions, a court can temporarily add a new person to help fix the problem.

Key Takeaways

•If a company's board is stuck in a tie and can't make decisions, a court can help.
•The court can appoint a temporary director to break the tie.
•This temporary director has the same duties and powers as a regular director.

Example

Imagine a small company where the two owners can't agree on anything, like how to spend money or who to hire. Because of this, the company can't move forward.

A court can step in and appoint a temporary director to help break the tie and make decisions so the company can keep running.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 1802 Corporate Deadlock Provisional Directors

If the ground for the complaint for involuntary dissolution of the corporation is a deadlock in the board as set forth in subdivision (b)(2) of Section 1800, the court may appoint a provisional director. The provisions of subdivision (c) of Section 308 apply to any such provisional director so appointed. (Amended by Stats. 1977, Ch. 235.)

Last verified: January 10, 2026

Key Terms

deadlock in the board provisional director

References

Official text at leginfo.legislature.ca.gov
California Legislature. Corporations Code. Section 1802.

Key Takeaways

Example

Key Terms

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Key Takeaways

Example

Key Terms

Related Statutes

References