79-11-270 - Liability of director for unlawful distribution. - Mississippi Statutes

§ 79-11-270. Liability of director for unlawful distribution.
 

(1)  A director who votes for or assents to a distribution made in violation of Section 79-11-101 et seq. is personally liable to the corporation for the amount of the distribution that exceeds what could have been distributed without violating Section 79-11-101 et seq., if it is established that he did not perform his duties in compliance with Section 79-11-267. In any proceeding commenced under this section, a director has all of the defenses ordinarily available to a director. 

(2)  A director held liable under subsection (1) for an unlawful distribution is entitled to contribution: 

(a) From every other director who could be held liable under subsection (1) for the unlawful distribution; and 

(b) 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 Section 79-11-101 et seq. 
 

Sources: Laws,  1988, ch. 417, § 5, eff from and after July 1, 1988.