Corp. Code, § 6719 · Chapter 17. General Provisions Relating to Dissolution
Corp. Code, § 6719
Text — As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
(a) Whenever in the process of winding up a corporation any distribution of assets has been made, otherwise than under an order of court, without prior payment or adequate provision for payment of any of the debts and liabilities of the corporation, any amount so improperly distributed to any person may be recovered by the corporation. Any of such persons may be joined as defendants in the same action or be brought in on the motion of any other defendant.
(b) Suit may be brought in the name of the corporation to enforce the liability under subdivision (a) against any or all persons receiving the distribution by the Attorney General or by any one or more creditors of the corporation, whether or not they have reduced their claims to judgment.
(c) As used in this section, “process of winding up” includes proceedings under Chapters 15 (commencing with Section 6510) and 16 (commencing with Section 6610) and also any other distribution of assets to persons made in contemplation of termination or abandonment of the corporate business.
Notes and commentary — not statutory text
History
Added by Stats. 1978, Ch. 567.
Source of truth
- Edition
- As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
- Official file
- https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CORP§ionNum=6719.
- Text hash
- sha256 28df640cd201a3d595d921fd6a8ba57b35bd305dec50f15a5539942bc8d700c2
- Composed by
- compose_ca.py 2026-10-22: the Legislative Counsel's CAML content files read by a tokenizer (caml_readers.reader_a); an independent xml.etree reading (caml_readers.reader_b) agrees on every section
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Corporations Code
- Corp. Code, tit. 1, div. 2, pt. 2, ch. 15Involuntary DissolutionPrinted as Chapters 15 (commencing with Section 6510) and 16 (commencing with Section 6610)
- Corp. Code, tit. 1, div. 2, pt. 2, ch. 16Voluntary DissolutionPrinted as Chapters 15 (commencing with Section 6510) and 16 (commencing with Section 6610)
Cited by 1 provision
Provisions in this library whose text cites Corp. Code, § 6719. Each shows the citation as that text prints it.
Corporations Code
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