(805 ILCS 105/112.50) (from Ch. 32, par. 112.50)
Sec. 112.50. Grounds for judicial dissolution. A Circuit Court may dissolve a corporation:
(a) In an action by the Attorney General, if it is established that:
(1) the corporation filed its articles of
incorporation through fraud;
(2) the corporation has continued to exceed or abuse
the authority conferred upon it by law, or has continued to violate the law, after notice of the same has been given to such corporation, either personally or by registered mail;
(3) any interrogatory propounded by the Secretary of
State to the corporation, its officers or directors, as provided in this Act, has been answered falsely or has not been answered fully within 30 days after the mailing of such interrogatories by the Secretary of State or within such extension of time as shall have been authorized by the Secretary of State;
(4) the corporation has solicited money and failed to
use the money for the purpose which it was solicited, or has fraudulently solicited money or fraudulently used the money solicited; or
(5) the corporation has substantially and willfully
violated the provisions of the Consumer Fraud and Deceptive Business Practices Act.
(b) In an action by a member entitled to vote, or a director, if it is established that:
(1) the directors are deadlocked, whether because of
even division in the number thereof or because of greater than majority voting requirements in the articles of incorporation or the bylaws, in the management of the corporate affairs; the members are unable to break the deadlock; and irreparable injury to the corporation is thereby caused or threatened;
(2) the directors or those in control of the
corporation have acted, are acting, or will act in a manner that is illegal, oppressive or fraudulent;
(3) the corporate assets are being misapplied or
wasted; or
(4) the corporation is unable to carry out its
purposes.
(c) In an action by a creditor, if it is established that:
(1) the creditor's claim has been reduced to
judgment, the judgment has been returned unsatisfied, and the corporation is insolvent; or
(2) the corporation has admitted in writing that the
creditor's claim is due and owing, and the corporation is insolvent.
(d) In an action by the corporation to dissolve under court supervision, if it is established that the corporation is unable to carry out its purposes.
(Source: P.A. 96-66, eff. 1-1-10; 96-1000, eff. 7-2-10.)
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Last modified: February 18, 2015