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HB1146 Enrolled |
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LRB095 08441 LCT 28617 b |
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| AN ACT concerning business.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The General Not For Profit Corporation Act of |
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| 1986 is amended by changing Section 108.70 as follows:
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| (805 ILCS 105/108.70) (from Ch. 32, par. 108.70)
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| Sec. 108.70. Limited Liability of directors, officers , |
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| board members,
and persons who serve without compensation.
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| (a) No director or officer serving without compensation, |
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| other than
reimbursement for actual expenses, of a corporation |
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| organized under this
Act or any predecessor Act and exempt, or |
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| qualified for exemption, from
taxation pursuant to Section |
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| 501(c) of the Internal Revenue Code of 1986,
as amended, shall |
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| be liable, and no cause of action may be brought, for
damages |
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| resulting from the exercise of judgment or discretion in |
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| connection
with the duties or responsibilities of such director |
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| or officer unless the
act or omission involved willful or |
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| wanton conduct.
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| (b) No director of a corporation organized under this Act
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| or any predecessor Act for the purposes identified in items |
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| (14), (19),
(21) and (22) of
subsection (a) of Section 103.05 |
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| of this Act, and exempt or qualified for
exemption from |
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| taxation pursuant to Section 501(c) of the Internal
Revenue |
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HB1146 Enrolled |
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LRB095 08441 LCT 28617 b |
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| Code of 1986, as amended, shall be liable, and no cause of |
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| action
may be brought for damages resulting from the exercise |
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| of judgment or
discretion in connection with the duties or |
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| responsibilities of such
director, unless: (1) such director |
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| earns in excess of $5,000 per year from
his duties as director, |
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| other than reimbursement for actual expenses; or
(2) the act or |
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| omission involved willful or wanton conduct.
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| (b-5) Except for willful and wanton conduct, no volunteer |
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| board member serving without compensation, other than |
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| reimbursement for actual expenses, of a corporation organized |
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| under this Act or any predecessor Act and exempt, or qualified |
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| for exemption, from taxation pursuant to Section 501(c)(3) of |
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| the Internal Revenue Code of 1986, as amended, shall be liable, |
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| and no action may be brought, for damages resulting from any |
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| action of the executive director concerning the false reporting |
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| of or intentional tampering with financial records of the |
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| organization, where the actions of the executive director |
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| result in legal action.
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| This subsection (b-5) shall not apply to any action taken |
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| by the Attorney General (i) in the exercise of his or her |
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| common law or statutory power and duty to protect charitable |
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| assets or (ii) in the exercise of his or her authority to |
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| enforce the laws of this State that apply to trustees of a |
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| charity, as that term is defined in the Charitable Trust Act |
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| and the Solicitation for Charity Act.
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| (c) No person who, without compensation other than |
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HB1146 Enrolled |
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LRB095 08441 LCT 28617 b |
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| reimbursement for
actual expenses, renders service to or for a |
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| corporation organized under
this Act or any predecessor Act and |
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| exempt or qualified for exemption
from taxation pursuant to
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| Section 501(c)(3) of the Internal Revenue Code of 1986, as |
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| amended, shall
be liable, and no cause of action may be |
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| brought, for damages resulting
from an act or omission in |
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| rendering such services, unless the act or
omission involved |
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| willful or wanton conduct.
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| (d) (Blank).
As used in this Section "willful or wanton |
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| conduct" means a course
of action which shows an actual or |
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| deliberate intention to cause harm or
which, if not |
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| intentional, shows an utter indifference to or conscious
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| disregard for the safety of others or their property.
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| (e) Nothing in this Section is intended to bar any cause of |
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| action
against the corporation or change the liability of the |
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| corporation arising
out of an act or omission of any director, |
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| officer or person exempt from
liability for negligence under |
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| this Section.
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| (Source: P.A. 87-832.)
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