Louisiana Revised Statutes 12:1-1409 – Responsibility of the board of directors
Terms Used In Louisiana Revised Statutes 12:1-1409
- 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.
A. The board of directors of a dissolved corporation is responsible for winding up and liquidating the business and affairs of the corporation as contemplated by La. Rev. Stat. 12:1-1405 (A). The board of directors may authorize a distribution to shareholders only after the corporation pays, or makes reasonable provision to pay, all obligations owed by the corporation as contemplated by La. Rev. Stat. 12:1-1405(A).
B. Directors of a dissolved corporation which has disposed of claims under La. Rev. Stat. 12:1-1406, 1-1407, or 1-1408 shall not be liable for breach of Subsection A of this Section with respect to claims against the dissolved corporation that are barred or satisfied under La. Rev. Stat. 12:1-1406, 1-1407, or 1-1408.
Acts 2014, No. 328, §1, eff. Jan. 1, 2015.