§ 48-58-509 — Applicability of part

(a) (1) The indemnification and advancement of expenses granted pursuant to, or provided by, chapters 51-68 of this title shall not be deemed exclusive of any other rights to which a director or officer seeking indemnification or advancement of expenses may be entitled, whether contained in chapters 51-68 of this title, the charter, or the bylaws or, when authorized by such charter or bylaws, in a resolution of members, a resolution of directors, or an agreement providing for such indemnification; provided, that no indemnification may be made to or on behalf of any director or officer if a judgment or other final adjudication adverse to the director or officer establishes the director's or officer's liability: (A) For any breach of the duty of loyalty to the corporation or its members; (B) For acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law; (C) For a director's or officer's conflicting interest transaction under part 7 of this chapter; or (D) Under § 48-58-302 . (2) Nothing contained in chapters 51-68 of this title shall affect any rights to indemnification to which corporate personnel, other than directors and officers, may be entitled by contract or otherwise under law. If the charter limits indemnification or advancement for expenses, indemnification and advancement for expenses are valid only to the extent consistent with the charter. (b) This part does not limit a corporation's power to pay or reimburse expenses incurred by a director in connection with appearing as a witness in a proceeding at a time when the director has not been made a named defendant or respondent to the proceeding. (c) This part does not limit a corporation's power to indemnify, advance expenses to, or provide or maintain insurance on behalf of an employee, agent, or volunteer.

Legislative History

Amended by 2014 Tenn. Acts, ch. 899,s 53, eff. 1/1/2015. Amended by 2014 Tenn. Acts, ch. 899,s 52, eff. 1/1/2015. Acts 1987, ch. 242, § 8.58.