California Corporations Code

§ 9245

CORP § 9245 Effective Jan 1, 2000Div. 2 · Title 1 · Part 4 · Ch. 2 · Art. 4

Statute text

(a)Subject to the provisions of Section 9241, directors of a corporation who approve any of the following corporate actions shall be jointly and severally liable to the corporation for:

(1)The making of any distribution.

(2)The distribution of assets after institution of dissolution proceedings of the corporation, without paying or adequately providing for all known liabilities of the corporation, excluding any claims not filed by creditors within the time limit set by the court in a notice given to creditors under Section 9680 and those sections made applicable to this part by Section 9680.

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Legislative history

Amended by Stats. 1999, Ch. 453, Sec. 21. Effective January 1, 2000.