HRS §414-174
Court can pause a shareholder lawsuit during an investigation
If a corporation starts looking into the claims in a shareholder's demand or complaint, the court can pause the lawsuit for as long as the court thinks is right. This gives the corporation time to investigate before the case moves forward.
courts
The statute, as written — Stay of proceedings
If the corporation commences an inquiry into the allegations made in the demand or complaint, the court may stay any derivative proceeding for a period that the court deems appropriate.
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