LD 1539
pg. 36
Page 35 of 104 PUBLIC Law Chapter 344 Page 37 of 104
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LR 1942
Item 1

 
(b) An intentional infliction of harm on the
corporation or the shareholders; or

 
(c) An intentional violation of criminal law.

 
2. Dual capacity. Subsection 1, paragraph B applies to an
officer who is also a director if the basis on which the officer
is made a party to the proceeding is an act or omission solely as
an officer.

 
3. Mandatory indemnification. An officer who is not a
director is entitled to mandatory indemnification under section
853 and may apply to a court under section 855 for
indemnification or an advance for expenses, in each case to the
same extent to which a director may be entitled to
indemnification or an advance for expenses under those
provisions.

 
§859. Variation by corporate action; application of subchapter

 
1. Undertakings to indemnify. A corporation may, by a
provision in its articles of incorporation or bylaws or in a
resolution adopted or a contract approved by its board of
directors or shareholders, obligate itself in advance of the act
or omission giving rise to a proceeding to provide
indemnification in accordance with section 852 or advance funds
to pay for or reimburse expenses in accordance with section 854.
Any such Such an obligatory provision is deemed to satisfy the
requirements for authorization referred to in sections 854,
subsection 3 and 856, subsection 3. Any such provision that
obligates the corporation to provide indemnification to the
fullest extent permitted by law is deemed to obligate the
corporation to advance funds to pay for or reimburse expenses in
accordance with section 854 to the fullest extent permitted by
law, unless the provision specifically provides otherwise.

 
2. Predecessors. Any A provision pursuant to subsection 1
may not obligate the corporation to indemnify or advance expenses
to a director of a predecessor of the corporation pertaining to
conduct with respect to the predecessor unless otherwise
specifically provided. Any A provision for indemnification or an
advance for expenses in the corporation's articles of
incorporation or bylaws or a resolution of the corporation's
board of directors or shareholders of a predecessor of the
corporation in a merger or in a contract to which the predecessor
is a party, existing at the time the merger takes effect, is
governed by section 1107, subsection 1, paragraph D.

 
3. Limits. A corporation may, by a provision in its articles
of incorporation, limit any of the rights to


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