Utah Demand for Inspection of Corporate Books and Records
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FAQ
Under the Federal Reserve's statutory examination authority, examiners may review all books and records maintained on the premises of a financial institution that is subject to Federal Reserve supervision. This authority extends to all documents on the premises.
The director, trustee, stockholder or member may inspect the corporate records in person or through a representative at reasonable hours on business days, as well as demand in writing and at his/her expense for copies of such records.
Corporate records are needed to show that the corporation is functioning appropriately as required by the Internal Revenue Service, to show that the corporation is a separate entity and to maintain the corporate shield from liability.
Shareholders are entitled to inspect the company's financial books and records, including, but not limited to, financial statements, shareholder lists, corporate stock ledgers, and meeting minutes.
The Corporation Code has granted to all stockholders the right to inspect the corporate books and records, and in so doing has not required any specific amount of interest for the exercise of the right to inspect.
There are various remedies available to the shareholder where the right to inspect is violated, such as petition for inspection of corporate records with the competent court, complaint for damages or a criminal action against the person/s who denied the request to inspect on behalf of the corporation.
Shareholders' Rights Shareholders have the right to inspect a corporation's articles of incorporation and bylaws, but only limited rights to inspect accounting books and no right to inspect corporate communications and contracts.
If a minority shareholder is being treated unfairly by the majority, she should first request an inspection of the corporation's records. An inspection allows the shareholder to objectively assess and verify any suspicions of financial impropriety.
Mortgagee or its representatives shall have the right to examine and make copies of all books and records and all supporting vouchers and data related to the Secured Property at reasonable times upon reasonable written notice to Grantor.
