Art. 614.Venue

Title II. Actions · Chapter 5. Class and Derivative Actions · Enacted 1997 · no amendments on record · Last verified July 30, 2026

In one sentenceArticle 614 requires a shareholder's, partner's, or member's derivative action to enforce a corporation's or unincorporated association's right to be brought in the parish of proper venue for that entity, not for the individual accused of wrongdoing.

Full Text of Art. 614

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A derivative action of a shareholder, partner, or member to enforce a right of a corporation or unincorporated association shall be brought in the parish of proper venue as to the corporation or unincorporated association.

Amendment History

Acts 1997, No. 839, §1, eff. 7/1/1997.

Plain-English Summary

Venue for a derivative action follows the entity, not the wrongdoer. Article 614 requires a shareholder, partner, or member suing to enforce a corporation's or unincorporated association's right to file in the parish that is proper venue as to that corporation or association, even though the entity is not the one being sued for the underlying wrong — it is the party on whose behalf the suit is brought, and typically ends up joined as a defendant alongside the actual wrongdoer under Article 615's petition requirements.

This tracks the derivative concept: the suit exists to enforce the entity's own right, so it makes sense to anchor venue to the entity itself rather than to whichever officer, director, or third party the plaintiff ultimately accuses of the underlying wrong.

Frequently Asked Questions

Where must a shareholder's derivative action be filed?

In the parish that is proper venue for the corporation or unincorporated association whose right is being enforced, not necessarily where the individual wrongdoer is located.

Why is venue tied to the entity rather than the person accused of wrongdoing?

Because a derivative action enforces a right that belongs to the corporation or unincorporated association. The entity is the real party in interest whose right is at stake, so venue follows the entity.

Does Article 614 apply to derivative actions handled through joinder instead of a class action?

Yes. Article 616 confirms that derivative actions handled through joinder of all shareholders, partners, or members remain subject to Article 614's venue rule and Article 615's petition requirements.

Source & verification. Article text is reproduced verbatim from the vLex (Louisiana Code of Civil Procedure, 2026 Edition). Enacted by the Louisiana Legislature. Last verified July 30, 2026. · Official source

Also known as: derivative action venue louisianala c.c.p. art. 614shareholder derivative suit venue