KCI Restaurant Management LLC v. Holm Wright Hyde & Hays PLC

OPINION

PORTLEY, Judge.

¶ 1 We are asked to resolve whether KCI Restaurant Management LLC (“KCI”), an ousted member of SVP Restaurant Financing, LLC (“SVP”), can bring a derivative action on behalf of SVP despite the plain language in Arizona Revised Statutes (“AR.S.”) section 29-831 (2014) that only members of a limited liability company can bring derivative actions. We also address the cross-appeal of Holm Wright Hyde & Hays PLC, and individual members and their spouses (collectively “Holm”), challenging the denial of their request for attorneys’ fees. For the following reasons, we affirm.

FACT…