The Vermont Statutes Online
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
NOTE: The online version of the Vermont Statutes does NOT yet include the actions of the 2023 legislative session. The 2023 updates should be available by the end of October.
Subchapter 001 : BOARD OF DIRECTORS(Cite as: 11B V.S.A. § 8.13)
§ 8.13. Financially disinterested majority—Public benefit corporations
(a) No more than 49 percent of the individuals serving on the board of any public benefit corporation may be financially interested persons.
(b) For the purposes of this section, “financially interested persons” means:
(1) individuals who have received or are entitled to receive compensation, directly or indirectly, from the corporation for services rendered to it within the previous 12 months, whether as full- or part-time employees, independent contractors, consultants, or otherwise, excluding any reasonable payments made to directors for serving as directors; or
(2) any spouse, brother, sister, parent, or child of any such individual.
(c) The failure to comply with the provisions of this section shall not affect the validity or enforceability of any transaction entered into by a corporation. (Added 1995, No. 179 (Adj. Sess.), § 1, eff. Jan. 1, 1997.)