For a long time, many directors and officers of companies have been happy to accept whatever indemnification provisions a company may happen to have in its charter documents and sign whatever form of indemnification agreement that their companies handed to them. An indemnification agreement obligates a company to defend directors and officers against certain kinds of lawsuits related to the duties performed by directors or officers. However, directors and officers became a lot more motivated to review these documents in October 2003. Read this article to learn why.
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