Vermont § 4060 - Reimbursement, indemnification, and insurance
Full text of Vermont Vermont Statutes Online § 4060 — Reimbursement, indemnification, and insurance, with citation guidance and answers to common questions.
§ 4060. Reimbursement, indemnification, and insurance
- (a) A member-managed limited liability company shall reimburse a member, and a manager-managed
limited liability company shall reimburse a manager, for payments made and indemnify
the member or manager for liabilities reasonably incurred by the member or manager
in the ordinary and proper conduct of the activities of the limited liability company
or for the preservation of its activities or property. (b) A limited liability company may purchase and maintain insurance on behalf of a member
or manager against liability asserted against or incurred by the member or manager
in that capacity or arising from that status whether or not the operating agreement
is permitted to provide for the member or manager to be indemnified against the liability. (c) A limited liability company shall reimburse a member for an advance to the company
beyond the amount of contribution the member agreed to make. (d) A payment or advance that gives rise to an obligation of a limited liability company
under subsections (a) through (c) of this section constitutes a loan to the company,
which accrues interest from the date of the payment or advance. (e) A member is not entitled to remuneration for services performed for a limited liability
company even in the capacity as a manager of a manager-managed company, except for
reasonable compensation for services rendered in winding up the activities of the
company. (Added 2015, No. 17, § 2.)
Source: official Vermont text · Last verified 2026-08-27
Frequently Asked Questions About Vermont § 4060
What does Vermont Statutes Online § 4060 cover?
Section 4060 ("Reimbursement, indemnification, and insurance") is part of the Vermont Statutes Online, the codified statutory law of Vermont. 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 Vermont § 4060?
A common citation format is "Vermont Statutes Online § 4060" (Vermont). 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 Vermont law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Vermont official source linked on this page or consult a licensed Vermont attorney.
How does Vermont § 4060 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Vermont 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 Vermont.