Maricopa Arizona Indemnification Agreement between corporation and its directors regarding method for determining whether standards for indemnification have been met

• Category: Corporations - Public - Indemnification
• State: Multi-State
• County: Maricopa
• Control #: US-CC-17-158
• Format: Word; Rich Text

Description

17-158 17-158 . . . Indemnification Agreement between corporation and its directors and/or officers including future directors and officers containing detailed provisions relating to method for determining whether standards for indemnification or reimbursement have been met and making corporation responsible for all costs of determining whether a person is entitled to indemnification or reimbursement regardless of whether person is ultimately found to be entitled to indemnification Maricopa Arizona Indemnification Agreement is a legal contract that outlines the terms and conditions under which a corporation agrees to indemnify its directors in certain situations. The agreement establishes a method for determining whether the standards for indemnification have been met and offers protection to directors acting in good faith. This agreement serves as a safeguard for directors, protecting them from potential personal liability when carrying out their duties on behalf of the corporation. By establishing clear guidelines for indemnification, it ensures that directors are adequately protected in the event of legal actions, claims, or losses. The Maricopa Arizona Indemnification Agreement typically includes key provisions such as: 1. Scope of Indemnification: The agreement specifies the specific situations in which the corporation will provide indemnification to its directors. This often includes legal proceedings, investigations, or claims arising from the director's actions or decisions made in their capacity as a director. 2. Standard of Conduct: The agreement outlines the standards of conduct that directors must meet to be eligible for indemnification. This may include acting in good faith, in the best interests of the corporation, and reasonably believing their actions were lawful. 3. Determination of Eligibility: The agreement establishes a method for determining whether the standards for indemnification have been met. This may involve a review by an independent committee, legal counsel, or another designated party to assess the director's actions and determine whether they acted within the scope of their authority. 4. Advances for Expenses: The agreement may address the corporation's obligation to advance legal expenses or other costs incurred by directors when defending a legal action. This provision allows directors to access necessary funds to mount a defense before the final determination of their eligibility for indemnification. 5. Limitations and Exceptions: The agreement may also include limitations or exceptions to indemnification, such as instances of intentional misconduct, fraud, or actions committed outside the scope of directorial duties. Different types of Maricopa Arizona Indemnification Agreements can exist based on the specific needs and requirements of the corporation. These may include specific types of indemnification agreements for executive directors, non-executive directors, advisory board members, or independent directors. Each agreement may have slight variations to address the unique roles and responsibilities associated with the specific director position. In conclusion, the Maricopa Arizona Indemnification Agreement is a crucial legal document that protects corporate directors by providing indemnification in certain circumstances. By establishing a clear method for determining eligibility, it ensures fair treatment for directors acting in good faith while fulfilling their duties.

Maricopa Arizona Indemnification Agreement is a legal contract that outlines the terms and conditions under which a corporation agrees to indemnify its directors in certain situations. The agreement establishes a method for determining whether the standards for indemnification have been met and offers protection to directors acting in good faith. This agreement serves as a safeguard for directors, protecting them from potential personal liability when carrying out their duties on behalf of the corporation. By establishing clear guidelines for indemnification, it ensures that directors are adequately protected in the event of legal actions, claims, or losses. The Maricopa Arizona Indemnification Agreement typically includes key provisions such as: 1. Scope of Indemnification: The agreement specifies the specific situations in which the corporation will provide indemnification to its directors. This often includes legal proceedings, investigations, or claims arising from the director's actions or decisions made in their capacity as a director. 2. Standard of Conduct: The agreement outlines the standards of conduct that directors must meet to be eligible for indemnification. This may include acting in good faith, in the best interests of the corporation, and reasonably believing their actions were lawful. 3. Determination of Eligibility: The agreement establishes a method for determining whether the standards for indemnification have been met. This may involve a review by an independent committee, legal counsel, or another designated party to assess the director's actions and determine whether they acted within the scope of their authority. 4. Advances for Expenses: The agreement may address the corporation's obligation to advance legal expenses or other costs incurred by directors when defending a legal action. This provision allows directors to access necessary funds to mount a defense before the final determination of their eligibility for indemnification. 5. Limitations and Exceptions: The agreement may also include limitations or exceptions to indemnification, such as instances of intentional misconduct, fraud, or actions committed outside the scope of directorial duties. Different types of Maricopa Arizona Indemnification Agreements can exist based on the specific needs and requirements of the corporation. These may include specific types of indemnification agreements for executive directors, non-executive directors, advisory board members, or independent directors. Each agreement may have slight variations to address the unique roles and responsibilities associated with the specific director position. In conclusion, the Maricopa Arizona Indemnification Agreement is a crucial legal document that protects corporate directors by providing indemnification in certain circumstances. By establishing a clear method for determining eligibility, it ensures fair treatment for directors acting in good faith while fulfilling their duties.