State Codes and Statutes

Statutes > New-york > Bsc > Article-7 > 724

§ 724. Indemnification of directors and officers by a court.    (a)   Notwithstanding   the   failure  of  a  corporation  to  provide  indemnification, and despite any contrary resolution of the board or  of  the  shareholders  in  the  specific  case under section 723 (Payment of  indemnification other than by court  award),  indemnification  shall  be  awarded   by  a  court  to  the  extent  authorized  under  section  722  (Authorization for  indemnification  of  directors  and  officers),  and  paragraph (a) of section 723. Application therefor may be made, in every  case, either:    (1)  In  the  civil  action  or  proceeding in which the expenses were  incurred or other amounts were paid, or    (2) To the supreme court in a separate proceeding, in which  case  the  application  shall set forth the disposition of any previous application  made to any court for the same or similar  relief  and  also  reasonable  cause  for the failure to make application for such relief in the action  or proceeding in which the expenses were incurred or other amounts  were  paid.    (b)  The  application  shall be made in such manner and form as may be  required by the applicable rules of court or, in the absence thereof, by  direction of a court to which it is made. Such application shall be upon  notice to the corporation. The court may  also  direct  that  notice  be  given  at  the  expense  of the corporation to the shareholders and such  other persons as it may designate in such manner as it may require.    (c) Where indemnification is sought by judicial action, the court  may  allow  a  person  such  reasonable  expenses, including attorneys' fees,  during the pendency of the litigation as  are  necessary  in  connection  with his defense therein, if the court shall find that the defendant has  by  his  pleadings or during the course of the litigation raised genuine  issues of fact or law.

State Codes and Statutes

Statutes > New-york > Bsc > Article-7 > 724

§ 724. Indemnification of directors and officers by a court.    (a)   Notwithstanding   the   failure  of  a  corporation  to  provide  indemnification, and despite any contrary resolution of the board or  of  the  shareholders  in  the  specific  case under section 723 (Payment of  indemnification other than by court  award),  indemnification  shall  be  awarded   by  a  court  to  the  extent  authorized  under  section  722  (Authorization for  indemnification  of  directors  and  officers),  and  paragraph (a) of section 723. Application therefor may be made, in every  case, either:    (1)  In  the  civil  action  or  proceeding in which the expenses were  incurred or other amounts were paid, or    (2) To the supreme court in a separate proceeding, in which  case  the  application  shall set forth the disposition of any previous application  made to any court for the same or similar  relief  and  also  reasonable  cause  for the failure to make application for such relief in the action  or proceeding in which the expenses were incurred or other amounts  were  paid.    (b)  The  application  shall be made in such manner and form as may be  required by the applicable rules of court or, in the absence thereof, by  direction of a court to which it is made. Such application shall be upon  notice to the corporation. The court may  also  direct  that  notice  be  given  at  the  expense  of the corporation to the shareholders and such  other persons as it may designate in such manner as it may require.    (c) Where indemnification is sought by judicial action, the court  may  allow  a  person  such  reasonable  expenses, including attorneys' fees,  during the pendency of the litigation as  are  necessary  in  connection  with his defense therein, if the court shall find that the defendant has  by  his  pleadings or during the course of the litigation raised genuine  issues of fact or law.

State Codes and Statutes

State Codes and Statutes

Statutes > New-york > Bsc > Article-7 > 724

§ 724. Indemnification of directors and officers by a court.    (a)   Notwithstanding   the   failure  of  a  corporation  to  provide  indemnification, and despite any contrary resolution of the board or  of  the  shareholders  in  the  specific  case under section 723 (Payment of  indemnification other than by court  award),  indemnification  shall  be  awarded   by  a  court  to  the  extent  authorized  under  section  722  (Authorization for  indemnification  of  directors  and  officers),  and  paragraph (a) of section 723. Application therefor may be made, in every  case, either:    (1)  In  the  civil  action  or  proceeding in which the expenses were  incurred or other amounts were paid, or    (2) To the supreme court in a separate proceeding, in which  case  the  application  shall set forth the disposition of any previous application  made to any court for the same or similar  relief  and  also  reasonable  cause  for the failure to make application for such relief in the action  or proceeding in which the expenses were incurred or other amounts  were  paid.    (b)  The  application  shall be made in such manner and form as may be  required by the applicable rules of court or, in the absence thereof, by  direction of a court to which it is made. Such application shall be upon  notice to the corporation. The court may  also  direct  that  notice  be  given  at  the  expense  of the corporation to the shareholders and such  other persons as it may designate in such manner as it may require.    (c) Where indemnification is sought by judicial action, the court  may  allow  a  person  such  reasonable  expenses, including attorneys' fees,  during the pendency of the litigation as  are  necessary  in  connection  with his defense therein, if the court shall find that the defendant has  by  his  pleadings or during the course of the litigation raised genuine  issues of fact or law.