Proclamation 37, dated March 26, 2020, orders the suspension of Subpart A of Part 7 of the Business Corporation Act to the extent it requires shareholder meetings to be noticed and held at a physical location in connection with meetings scheduled to be held or with record dates that fall within the declared Public Health Emergency.
Senate Bill 241, effective February 1, 2020, enacts the Small Business Protection Act. The Act states that the legislature’s intent is “to improve state rulemaking by creating procedures to analyze the availability of more flexible regulatory approaches for small businesses”. The Act, among other things, requires the Secretary of State to post information about proposed state rules that may affect small businesses on its website and to notify interested parties when the rule information is posted. The database is live and can be accessed here.
Inspection of Records
Bernard v. Louisiana Testing & Inspection, Inc., 19-575 (La. App. 3 Cir.), decided February 5, 2020. The Louisiana Court of Appeal held that the plaintiff was entitled to inspect a corporation’s financial records even though the trial court did not find his testimony credible where other testimony and evidence established that he was a shareholder and met the statutory requirements.