§ 9223 Director Removal For Fraud

Corporations Code·California

AI SummaryVerified

Key Takeaways

•If a director does something dishonest, the court can kick them out of their job.
•The court can also stop them from being a director again for a while.
•The company must be part of the court case.
•The Attorney General can start this case or join in if someone else does.

Example

A director of a company secretly takes money from the company for themselves.

The court can remove this director from their job and stop them from being a director again for some time. The company must be involved in the court case, and the Attorney General can help or join the case.

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

Official Source

View on CA.gov

§ 9223 Director Removal For Fraud

(a) The superior court of the proper county may, at the suit of a director, or twice the authorized number (Section 5036) of members, remove from office any director in case of fraudulent acts and may bar from reelection any director so removed for a period prescribed by the court. The corporation shall be made a party to such action. (b) The Attorney General may bring an action under subdivision (a), may intervene in such an action brought by any other party and shall be given notice of any such action brought by any other party. (Added by Stats. 1978, Ch. 567.)

Last verified: January 23, 2026

Key Terms

fraudulent acts director superior court Attorney General

References

Official text at leginfo.legislature.ca.gov
California Legislature. Corporations Code. Section 9223.

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References