New Jersey § 14a:18-7
Full text of New Jersey New Jersey Statutes § 14a:18-7, with citation guidance and answers to common questions.
§ 14a:18-7.
a. The board of directors of a benefit corporation shall include one director who
shall be designated the “benefit director” and shall have, in addition to all of the
powers, duties, rights and immunities of the other directors of the benefit corporation,
the powers, duties, rights and immunities provided in this act. b. The benefit director shall be elected, and may be removed, in the manner provided
by chapter 6 of Title 14A of the New Jersey Statutes, 1 and shall be an individual who is independent. The benefit director may serve as the benefit officer, designated pursuant to section
9 of this act, 2 at the same time as serving as the benefit director. The certificate of incorporation or bylaws of a benefit corporation may prescribe
additional qualifications of the benefit director not inconsistent with this subsection. c. The benefit director shall prepare, and the benefit corporation shall include in
the annual benefit report to shareholders required by section 11 of this act, 3 a statement whether, in the opinion of the benefit director, the benefit corporation
acted in accordance with its general, and any specific, public benefit purpose in
all material respects during the period covered by the report and whether the directors
and officers complied with subsection a. of section 6 of this act and subsection a.
of section 8 of this act. 4 If in the opinion of the benefit director the benefit corporation or its directors
or officers failed to act in accordance with its public benefit purpose, then the
statement of the benefit director shall include a description of the ways in which
the benefit corporation or its directors or officers failed to act. d. If the by-laws of a benefit corporation provide that the powers and duties conferred
or imposed upon the board of directors shall be exercised or performed by a person
other than the directors pursuant to N.J.S.14A:6-1 , then the bylaws of the benefit corporation must provide that the person or shareholders
who perform the duties of a board of directors shall include a person with the powers,
duties, rights and immunities of a benefit director. e. Regardless of whether the certificate of incorporation of a benefit corporation
includes a provision eliminating or limiting the personal liability of directors authorized
by subsection (3) of N.J.S.14A:2-7 , a benefit director shall not be personally liable for any act or omission in the
capacity of a benefit director unless the act or omission constitutes self-dealing,
willful misconduct or a knowing violation of law. 1
N.J.S.A. § 14A:6-1 et seq. 2
L.2011, c. 30 (N.J.S.A. § 14A:18-9). 3
L.2011, c. 30 (N.J.S.A. § 14A:18-11). 4
L.2011, c. 30, §§ 6 and 8 (N.J.S.A. § 14:18A-6, N.J.S.A. § 14:18A-8).
Frequently Asked Questions About New Jersey § 14a:18-7
What does New Jersey Statutes § 14a:18-7 cover?
Section 14a:18-7 is part of the New Jersey Statutes, the codified statutory law of New Jersey. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite New Jersey § 14a:18-7?
A common citation format is "New Jersey Statutes § 14a:18-7" (New Jersey). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of New Jersey law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the New Jersey official source linked on this page or consult a licensed New Jersey attorney.
How does New Jersey § 14a:18-7 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in New Jersey can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in New Jersey.