Ala. Code § 10A-3A-8.50

Current through the 2024 Regular Session.

Section 10A-3A-8.50 - Division definitions

In this division:

(1) "DIRECTOR" or "OFFICER" means an individual who is or was a director or officer, respectively, of a nonprofit corporation or who, while a director or officer of the nonprofit corporation, is or was serving at the nonprofit corporation's request as a director, officer, manager, member, partner, trustee, employee, or agent of another entity or employee benefit plan. A director or officer is considered to be serving an employee benefit plan at the nonprofit corporation's request if the individual's duties to the nonprofit corporation also impose duties on, or otherwise involve services by, the individual to the plan or to participants in or beneficiaries of the plan. "Director" or "officer" includes, unless the context requires otherwise (i) the estate or personal representative of a director or officer and (ii) with respect to a director, an individual designated, elected, or appointed by that or any other name or title.

(2) "LIABILITY" means the obligation to pay a judgment, settlement, penalty, fine (including an excise tax assessed with respect to an employee benefit plan), or expenses incurred with respect to a proceeding.

(3) "NONPROFIT CORPORATION " includes any domestic or foreign predecessor entity of a nonprofit corporation.

(4) "OFFICIAL CAPACITY" means:

(i) when used with respect to a director, the office of director in a nonprofit corporation; and

(ii) when used with respect to an officer, as contemplated in Section 10A-3A-8.56, the office in a nonprofit corporation held by the officer. "Official capacity" does not include service for any other corporation or foreign corporation or any joint venture, trust, employee benefit plan, or other entity.

(5) "PARTY" means an individual who was, is, or is threatened to be made, a defendant or respondent in a proceeding.

(6) "PROCEEDING" means any threatened, pending, or completed action, suit, or proceeding, whether civil, criminal, administrative, arbitrative, or investigative and whether formal or informal.

Ala. Code § 10A-3A-8.50 (1975)

Added by Act 2023-503,§ 1, eff. 1/1/2024.