Arizona Revised Statutes § 44-1999 Controlling Persons; Liability

44-1999. Controlling persons; liability

A. Every person who, by or through stock ownership, agency or otherwise or who pursuant to or in connection with an agreement or understanding with one or more other persons by or through stock ownership, agency or otherwise controls any person liable under this article, other than section 44-1991 or 44-1992, is liable jointly and severally with and to the same extent as the controlled person to any person to whom the controlled person is liable, unless the controlling person had no knowledge of or reasonable grounds to believe in the existence of the facts by reason of which the liability of the controlled person is alleged to exist.

B. Every person who, directly or indirectly, controls any person liable for a violation of section 44-1991 or 44-1992 is liable jointly and severally with and to the same extent as the controlled person to any person to whom the controlled person is liable unless the controlling person acted in good faith and did not directly or indirectly induce the act underlying the action.

Section: Previous  44-1992  44-1993  44-1994  44-1995  44-1996  44-1997  44-1998  44-1999  44-2000  44-2001  44-2002  44-2003  44-2004  44-2005  44-2011  Next

Last modified: October 13, 2016