Carroll Electric Cooperative Amends Bylaws to Prohibit Class Action Suits by Members
Posted on Nov 28, 2011 in Corporate Governance, Derivative Suits | Comments Off on Carroll Electric Cooperative Amends Bylaws to Prohibit Class Action Suits by Members
Carroll Electric Cooperative Corporation (CECC) recently amended its bylaws to prohibit class action litigation against it by its members; the amended bylaws require members to bring disputes to arbitration. CECC’s board approved these amendments while the merits of a complaint initiated by Gordon Watkins and Dane Schumacher on behalf of coop members is being considered by the Arkansas Public Service Commission. It is unclear whether the bylaws as amended would apply to the foregoing litigation since the class for such litigation has not yet been certified. Carroll County News has additional details.
