CRB(LOCAL) - INSURANCE AND ANNUITIES MANAGEMENT: LIABILITY INSURANCE

The District may, to the extent legally permissible, at a regularly called meeting of the Board of Trustees, conduct a vote of the disinterested members to indemnify a person who serves, or who has served at any time, as a member of the Board of Trustees of the District against all expenses and liabilities, including, without limitation, counsel fees, judgments, fines, excise taxes, penalties, and settlement payments, reasonably incurred by or imposed upon such person in connection with any threatened, pending, or completed civil action, civil suit, or civil proceeding in which he or she may become involved by reason of his or her service in their capacity as a member of the Board of Trustees, provided that:

  1. In any vote to indemnify such a current or former Trustee, the disinterested Trustees shall not vote in favor of indemnification unless the disinterested Trustees make a good-faith determination that a defense of the current or former Trustee is in the public interest;
  2. No indemnification shall be provided for any such person with respect to any matter as to which he or she shall have been finally adjudicated in any proceeding not to have acted in good faith in the reasonable belief that such action was in the best interests of the District; and
  3. Any compromise or settlement payment shall be approved by a majority vote of a quorum members of the Board who are not at that time parties to the proceeding.

Nothing in CRB(LOCAL) shall be construed to extend beyond the limits of CRB(LEGAL).

White Settlement ISD

CRB(LOCAL)-X

LDU 2019.04

DATE ISSUED: 1/2/2020