Sec. 10. (a) Subject to section 5 of this chapter, a director who votes for or assents to a distribution made in violation of this article 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 article or the articles of incorporation.

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

Terms Used In Indiana Code 28-13-11-10

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
(1) from every other director who voted for or assented to the distribution, subject to section 5 of this chapter; and

(2) from each shareholder for the amount the shareholder accepted.

As added by P.L.14-1992, SEC.163.

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