H.B. 1022                                                     VETOES

1.        ACTED IN GOOD FAITH FOR A PURPOSE THE INDIVIDUAL
REASONABLY BELIEVED TO BE IN, OR NOT OPPOSED TO, THE BEST INTERESTS OF
THE SOCIETY; AND

2.        IN A CRIMINAL ACTION OR PROCEEDING, HAD NO
REASONABLE CAUSE TO BELIEVE THAT THE INDIVIDUAL'S CONDUCT WAS
UNLAWFUL

(3)      THE DETERMINATION OF WHETHER THE CONDUCT OF AN
INDIVIDUAL MET THE STANDARD REQUIRED TO JUSTIFY INDEMNIFICATION AND
REIMBURSEMENT IN RELATION TO ANY MATTER DESCRIBED IN PARAGRAPH (2) OF
THIS SUBSECTION MAY BE MADE ONLY BY:

(I)      THE SUPREME GOVERNING BODY OR BOARD OF DIRECTORS
OF THE SOCIETY BY A MAJORITY VOTE OF A QUORUM THAT CONSISTS OF
INDIVIDUALS WHO WERE NOT PARTIES TO THE ACTION, SUIT, OR PROCEEDING; OR

(II)     A COURT OF COMPETENT JURISDICTION.

(4)      THE TERMINATION OF AN ACTION, SUIT, OR PROCEEDING BY
JUDGMENT, ORDER, SETTLEMENT, CONVICTION, OR ON A PLEA OF NO CONTEST, AS
TO AN INDIVIDUAL SHALL NOT IN ITSELF CREATE A CONCLUSIVE PRESUMPTION
THAT THE INDIVIDUAL DID NOT MEET THE STANDARD OF CONDUCT REQUIRED TO
JUSTIFY INDEMNIFICATION AND REIMBURSEMENT.

(5)      THE RIGHT OF INDEMNIFICATION AND REIMBURSEMENT UNDER
THIS SUBSECTION SHALL NOT BE EXCLUSIVE OF OTHER RIGHTS TO WHICH AN
INDIVIDUAL MAY BE ENTITLED AS A MATTER OF LAW, AND SHALL INURE TO THE
BENEFIT OF THE INDIVIDUAL'S HEIRS, EXECUTORS, AND ADMINISTRATORS.

(D)     A SOCIETY MAY PURCHASE AND MAINTAIN INSURANCE ON BEHALF OF
ANY INDIVIDUAL WHO IS OR WAS A DIRECTOR, OFFICER, EMPLOYEE, OR AGENT OF
THE SOCIETY, OR WHO IS OR WAS SERVING AT THE REQUEST OF THE SOCIETY AS A
DIRECTOR, OFFICER, EMPLOYEE, OR AGENT OF ANY OTHER FIRM, CORPORATION,
OR ORGANIZATION AGAINST ANY LIABILITY ASSERTED AGAINST THE INDIVIDUAL
AND INCURRED BY THE INDIVIDUAL IN ANY SUCH CAPACITY OR ARISING OUT OF
THE INDIVIDUAL'S STATUS AS SUCH, WHETHER OR NOT THE SOCIETY WOULD HAVE
THE POWER TO INDEMNIFY THE INDIVIDUAL AGAINST SUCH LIABILITY UNDER THIS
SECTION.

(E)     NO DIRECTOR, OFFICER, EMPLOYEE, MEMBER, OR VOLUNTEER OF A
SOCIETY SERVING WITHOUT COMPENSATION, SHALL BE LIABLE, AND NO CAUSE OF
ACTION MAY BE BROUGHT, FOR DAMAGES RESULTING FROM THE EXERCISE OF
JUDGMENT OR DISCRETION IN CONNECTION WITH THE DUTIES OR
RESPONSIBILITIES OF THE INDIVIDUAL FOR THE SOCIETY UNLESS THE ACT OR
OMISSION INVOLVED WILLFUL OR WANTON MISCONDUCT.

8-421.

(a) (1) A society may admit to membership an individual who:
(i) is older than 14 1/2 years old; and

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