16-6a-903. Mandatory indemnification of directors.
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16-6a-903. Mandatory indemnification of directors.
(1)Unless limited by its bylaws, a nonprofit corporation shall indemnify a director described in Subsection
(2)against reasonable expenses incurred by the director in connection with the proceeding or claim with respect to which the director has been successful.
(2)Subsection
(1)applies to a director who was successful, on the merits or otherwise, in the defense of:
(a)any proceeding to which the director was a party because the director is or was a director of the nonprofit corporation; or
(b)any claim, issue, or matter in the proceeding, to which the director was a party because the director is or was a director of the nonprofit corporation.
Amended by Chapter 228 , 2006 General Session