South Carolina § 33-31-833 Liability for unlawful distributions.

South Carolina Statutes

§ 33-31-833 — Liability for unlawful distributions.

South Carolina § 33-31-833

Title 33CORPORATIONS, PARTNERSHIPS AND ASSOCIATIONS

Ch. 31SOUTH CAROLINA NONPROFIT CORPORATION ACT

This text of South Carolina § 33-31-833 (Liability for unlawful distributions.) is published on Counsel Stack Legal Research, covering South Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

S.C. Code Ann. § 33-31-833 (2026).

Text

(a)Unless a director complies with the applicable standards for conduct described in Section 33-31-830, a director who votes for or assents to a distribution made in violation of this chapter or the articles of incorporation is personally liable to the corporation for the amount of the distribution that exceeds what could have been distributed without violating this chapter.

(b)A director held liable for an unlawful distribution under subsection (a) is entitled to contribution:

(1)from every other director who voted for or assented to the distribution without complying with the applicable standards of conduct described in Section 33-31-830; and (2) from each person who received an unlawful distribution for the amount of the distribution whether or not the person receiving the distributi

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(a) Unless a director complies with the applicable standards for conduct described in Section 33-31-830, a director who votes for or assents to a distribution made in violation of this chapter or the articles of incorporation is personally liable to the corporation for the amount of the distribution that exceeds what could have been distributed without violating this chapter. (b) A director held liable for an unlawful distribution under subsection (a) is entitled to contribution: (1) from every other director who voted for or assented to the distribution without complying with the applicable standards of conduct described in Section 33-31-830; and (2) from each person who received an unlawful distribution for the amount of the distribution whether or not the person receiving the distribution knew it was made in violation of this chapter.