WILLIAM DONALD SCHAEFER, Governor                        Ch. 4

AUTHORIZED BY THIS SECTION MAY NOT BE DEEMED EXCLUSIVE OF ANY
OTHER RIGHTS, BY INDEMNIFICATION OR OTHERWISE, TO WHICH A
DIRECTOR MAY BE ENTITLED UNDER the charter, the bylaws, a
resolution of stockholders or directors, an agreement or
otherwise, [except as contemplated by subsection (k) of this
section, is not valid unless consistent with this section or, to
the extent that indemnity under this section is limited by the
charter, consistent with the charter] BOTH AS TO ACTION IN AN
OFFICIAL CAPACITY AND AS TO ACTION IN ANOTHER CAPACITY WHILE
HOLDING SUCH OFFICE.

(k) (1) A corporation may purchase and maintain insurance
on behalf of any person who is or was a director, officer,
employee, or agent of the corporation, or who, while a director,
officer, employee, or agent of the corporation, is or was serving
at the request of the corporation as a director, officer,
partner, trustee, employee, or agent of another foreign or
domestic corporation, partnership, joint venture, trust, other
enterprise, or employee benefit plan against any liability
asserted against and incurred by such person in any such capacity
or arising out of such person's position, whether or not the
corporation would have the power to indemnify against liability
under the provisions of this section.

(2)  A CORPORATION MAY PROVIDE SIMILAR PROTECTION,
INCLUDING A TRUST FUND, LETTER OF CREDIT, OR SURETY BOND, NOT
INCONSISTENT WITH THIS SECTION.

(3)  THE INSURANCE OR SIMILAR PROTECTION MAY BE
PROVIDED BY A SUBSIDIARY OR AN AFFILIATE OF THE CORPORATION.

SECTION 2. AND BE IT FURTHER ENACTED, That the provisions
of §§ 2-104(b)(8) and 2-405.2 of the Corporations and
Associations Article added by this Act shall apply only to
actions arising from events or omissions occurring on or after
the effective date of this Act, and that, except as provided in
Section 3 of this Act, the amendments to § 2-418 of the
Corporations and Associations Article added by this Act shall
apply only to indemnification granted on or after the effective
date of this Act, whether the events, omissions, or proceedings
underlying the indemnification occurred before or after the
effective date of this Act.

SECTION 3. AND BE IT FURTHER ENACTED, That with respect to
a banking institution, credit union, or savings and loan
association described in this Act, or a subsidiary of a banking
institution, credit union, or savings and loan association
described in this Act, the amendments to Section 2-418 of the
Corporations and Associations Article added by this Act shall
apply only to indemnification granted on or after the effective

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