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HomeCorporations CodeCh. 5§ 9514 Corporate Inspection Enforcement

§ 9514 Corporate Inspection Enforcement

Corporations Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 9514 Corporate Inspection Enforcement

Key Takeaways

  • •If a company refuses to show its records when asked nicely, a court can step in and make them show it.
  • •The court can pick someone to check the company's money and stuff, and the company has to help them.
  • •The person who asked to see the records usually has to pay for the check-up, unless the court says the company should pay.

Example

Imagine you own some shares in a small toy company, and you think the company is hiding how much money it's making. You ask to see their records, but they say no.

You can go to court and ask a judge to make the company show their records. The judge might pick an accountant to check the company's money and report back. The company has to show all their papers to this accountant. You might have to pay for this check, but if the judge thinks the company is being sneaky, they might make the company pay instead.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 9514 Corporate Inspection Enforcement

(a) Upon refusal of a lawful demand for inspection under this chapter, the superior court of the proper county, or the county where the books or records in question are kept, may enforce the demand or right of inspection with just and proper conditions or may, for good cause shown, appoint one or more competent inspectors or independent accountants to audit the financial statements kept in this state and investigate the property and funds of any corporation and of any subsidiary corporation thereof, domestic or foreign, keeping records in this state and to report thereon in such manner as the court may direct. (b) All officers and agents of the corporation shall produce to the inspectors or accountants so appointed all books and documents in their custody or power, under penalty of punishment for contempt of court. (c) All expenses of the investigation or audit shall be defrayed by the applicant unless the court orders them to be paid or shared by the corporation. (Amended by Stats. 1979, Ch. 724.)

Last verified: January 23, 2026

Key Terms

lawful demand for inspectionsuperior courtcompetent inspectorsindependent accountantscontempt of court

Related Statutes

  • § 1603 Corporate Records Inspection Enforcement
  • § 29540 Commissioner Enforcement Injunctions
  • § 7520 Director Election Procedures
  • § 12606 Court-Ordered Corporate Inspection
  • § 6336 Corporate Inspection Enforcement

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Corporations Code. Section 9514.
View Official Source