Challenging A Corporate Act

Senate Bill 1137 will become effective on August 25, 2004. SB1137 modifies a portion of the Arizona Nonprofit Corporation Act. SB1137 modifies A.R.S. § 10-3304. The new requirement states that if a member of a condominium or planned community desires to challenge the validity of a corporate act, they can do so on the basis that the corporation lacked the power to act without the need to gain the support of 10% of the members or 50 members.