17-7104.   Defective organization of corporation not adefense; judicial inquiry into regularity or validity of corporateorganization.(a) No domestic or foreign corporation shall be permitted to set up or relyupon the want of legal organization as a defense to any action against it; norshall any person transacting business with such corporation, or sued for injurydone to its property, be permitted to rely upon such want of legal organizationas a defense.

      (b)   This section shall not be construed to prevent judicial inquiry into theregularity or validity of the organization of a corporation, or its lawfulpossession of any corporate power it may assert in any other suit or proceedingwhere its corporate existence or the power to exercise the corporate rights itasserts is challenged, and evidence tending to sustain the challenge shall beadmissible in any such suit or proceeding.

      History:   L. 1972, ch. 52, § 123;L. 2004, ch. 143, § 76; Jan. 1, 2005.