New Jersey § 17:12b-38
Full text of New Jersey New Jersey Statutes § 17:12b-38, with citation guidance and answers to common questions.
§ 17:12b-38.
An association may with the approval of the commissioner, amend its certificate of
incorporation or bylaws, by a two-thirds vote of its board present and voting at a
duly convened regular or special meeting, to provide that a director or officer shall not be personally liable, or shall be liable only to the extent therein provided,
to the association or its members for damages for breach of any duty owed to the association
or its members, except that the provision shall not relieve a director or officer
from liability for an act or omission: a. in breach of that person's duty of loyalty
to the association or its members; b. not in good faith or involving a knowing violation
of law; or c. resulting in receipt by that person of an improper personal benefit. As used in this section, an act or omission in breach of a person's duty of loyalty
means an act or omission which that person knows or believes to be contrary to the
best interests of the association or its members in connection with a matter in which
he has a material conflict of interest. The commissioner shall approve the amendment unless he finds that it unreasonably
affects the interest of the members. This section shall be applicable to federal associations, in addition to State associations,
to the extent permitted by federal law.
Frequently Asked Questions About New Jersey § 17:12b-38
What does New Jersey Statutes § 17:12b-38 cover?
Section 17:12b-38 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 § 17:12b-38?
A common citation format is "New Jersey Statutes § 17:12b-38" (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 § 17:12b-38 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.