{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/13.1-681.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/13.1-681.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/13.1-681.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/13.1-681.1.html"}],"law_id":69281,"edition_id":1,"section_id":69281,"structure_id":14362,"section_number":"13.1-681.1","catch_line":"Removal of directors by judicial proceeding","history":"2019, c. 734.","full_text":"A\n\nThe circuit court in the county or city in which the principal office of the corporation is located, or, if none in the Commonwealth, in the county or city in which its registered office is located, may remove a director from office, and may bar the director from reelection for a period prescribed by the court, in a proceeding commenced by or in the right of the corporation if the court finds that (i) the director engaged in fraudulent conduct with respect to the corporation or its shareholders, grossly abused the position of director, or intentionally inflicted harm on the corporation and (ii) considering the director’s course of conduct and the inadequacy of other available remedies, removal would be in the best interest of the corporation.B\n\nA shareholder proceeding on behalf of the corporation under subsection A shall comply with all of the requirements of Article 8.1 (§ 13.1-672.1 et seq.) except for those set forth in subdivisions A 1 and 2 of § 13.1-672.1.","order_by":null,"text":{"0":{"id":250638,"text":"The circuit court in the county or city in which the principal office of the corporation is located, or, if none in the Commonwealth, in the county or city in which its registered office is located, may remove a director from office, and may bar the director from reelection for a period prescribed by the court, in a proceeding commenced by or in the right of the corporation if the court finds that (i) the director engaged in fraudulent conduct with respect to the corporation or its shareholders, grossly abused the position of director, or intentionally inflicted harm on the corporation and (ii) considering the director’s course of conduct and the inadequacy of other available remedies, removal would be in the best interest of the corporation.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":250639,"text":"A shareholder proceeding on behalf of the corporation under subsection A shall comply with all of the requirements of Article 8.1 (§ 13.1-672.1 et seq.) except for those set forth in subdivisions A 1 and 2 of § 13.1-672.1.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A"}},"ancestry":[{"id":14362,"edition_id":1,"name":"Directors and 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03:43:51","permalink":{"id":147493,"object_type":"structure","relational_id":12744,"identifier":"13.1","token":"13.1","url":"\/13.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":79378,"structure_id":14362,"section_number":"13.1-673","catch_line":"Requirement for and duties of board of directors","url":"\/13.1-673\/","token":"13.1\/9\/9\/13.1-673","metadata":false},{"id":72148,"structure_id":14362,"section_number":"13.1-674","catch_line":"Qualifications for directors or for nominees for director","url":"\/13.1-674\/","token":"13.1\/9\/9\/13.1-674","metadata":false},{"id":55684,"structure_id":14362,"section_number":"13.1-675","catch_line":"Number and election of directors","url":"\/13.1-675\/","token":"13.1\/9\/9\/13.1-675","metadata":false},{"id":86056,"structure_id":14362,"section_number":"13.1-676","catch_line":"Election of directors by certain classes or series of 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This law was first created in 2019. The record of its establishment is cataloged in chapter 734<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":false,"refers_to":[{"id":54967,"section_number":"13.1-672.1","catch_line":"Standing; condition precedent; stay of proceedings","order_by":null,"url":"\/13.1-672.1\/"}],"permalink":{"id":151207,"object_type":"law","relational_id":69281,"identifier":"13.1-681.1","token":"13.1\/9\/9\/13.1-681.1","url":"\/13.1-681.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/13.1-681.1\/","token":"13.1\/9\/9\/13.1-681.1","dublin_core":{"Title":"Removal of directors by judicial proceeding","Type":"Text","Format":"text\/html","Identifier":"\u00a7 13.1-681.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> The circuit<\/span> court<\/span> in the county or city in which the principal office<\/span> of the corporation<\/span> is located, or, if none in the Commonwealth, in the county or city in which its registered office is located, may remove a director from office, and may bar the director from reelection for a period prescribed by the court<\/span>, in a proceeding<\/span> commenced by or in the right of the corporation<\/span> if the court<\/span> finds that (i) the director engaged in fraudulent conduct with respect to the corporation<\/span> or its shareholders<\/span>, grossly abused the position of director, or intentionally inflicted harm on the corporation<\/span> and (ii) considering the director’s course of conduct and the inadequacy of other available remedies, removal would be in the best interest<\/span> of the corporation<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> A shareholder<\/span> proceeding<\/span> on behalf of the corporation<\/span> under subsection A shall comply with all of the requirements of Article 8.1 (§ 13.1-672.1<\/a> et seq.) except for those set forth in subdivisions A 1 and 2 of § 13.1-672.1<\/a>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREMOVAL OF DIRECTORS BY JUDICIAL PROCEEDING (\u00a7 13.1-681.1)\n\nA. The circuit court in the county or city in which the principal office of the\ncorporation is located, or, if none in the Commonwealth, in the county or city\nin which its registered office is located, may remove a director from office,\nand may bar the director from reelection for a period prescribed by the court,\nin a proceeding commenced by or in the right of the corporation if the court\nfinds that (i) the director engaged in fraudulent conduct with respect to the\ncorporation or its shareholders, grossly abused the position of director, or\nintentionally inflicted harm on the corporation and (ii) considering the\ndirector’s course of conduct and the inadequacy of other available\nremedies, removal would be in the best interest of the corporation.\n\nB. A shareholder proceeding on behalf of the corporation under subsection A\nshall comply with all of the requirements of Article 8.1 (§ 13.1-672.1 et\nseq.) except for those set forth in subdivisions A 1 and 2 of § 13.1-672.1.\n\nHISTORY: 2019, c. 734.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}