State Codes and Statutes

State Codes and Statutes

Statutes > Nebraska > Chapter21 > 21-20_113

21-20,113. Director; conflict of interest; judicial action.(1) A transaction effected or proposed to be effected by a corporation or by a subsidiary of the corporation or any other entity in which the corporation has a controlling interest, that is not a director's conflicting interest transaction, may not be enjoined or set aside or give rise to an award of damages or other sanctions in a proceeding by a shareholder or by or in the right of the corporation because a director of the corporation, or any person with whom or which he or she has a personal, economic, or other association, has an interest in the transaction.(2) A director's conflicting interest transaction may not be enjoined or set aside or give rise to an award of damages or other sanctions in a proceeding by a shareholder or by or in the right of the corporation because the director, or any person with whom or which he or she has a personal, economic, or other association, has an interest in the transaction, if:(a) Directors' action respecting the transaction was at any time taken in compliance with section 21-20,114;(b) Shareholders' action respecting the transaction was at any time taken in compliance with section 21-20,115; or(c) The transaction, judged according to the circumstances at the time of commitment, is established to have been fair to the corporation. SourceLaws 1995, LB 109, § 113.