{"data":{"id":"us-dc/d.c.-code-29-406.33","jurisdiction":"us-dc","citation":"D.C. Code § 29-406.33","heading":"Directors’ liability for unlawful distributions.","body":"(a)\nA director who votes for or assents to a distribution made in violation of this chapter shall be personally liable to the nonprofit corporation for the amount of the distribution that exceeds what could have been distributed without violating this chapter if the party asserting liability establishes that, when taking the action, the director did not comply with § 29-406.30.\n\n(b)\nA director held liable under subsection (a) of this section for an unlawful distribution shall be entitled to:\n(1)\nContribution from every other director who could be held liable under subsection (a) for the unlawful distribution; and\n(2)\nRecoupment from each person of the pro-rata portion of the amount of the unlawful distribution the person received, whether or not the person knew the distribution was made in violation of this chapter.\n\n(c)\nA proceeding to enforce:\n(1)\nThe liability of a director under subsection (a) of this section shall be barred unless it is commenced within 2 years after the date on which the distribution was made; or\n(2)\nContribution or recoupment under subsection (b) of this section shall be barred unless it is commenced within one year after the liability of the claimant has been finally adjudicated under subsection (a) of this section.","path":["Title 29. Business Organizations. [Enacted title]","Chapter 4. Nonprofit Corporations.","Subchapter VI. Directors, Officers, and Employees.","Part C. Directors."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/29-406.33","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"b1d101b775a86d42f1afbacbe30970aee0983164f2454fa0a76cf8b2b2ca7f8c","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-29-406.32","next":"us-dc/d.c.-code-29-406.40"},"notice":"GroundRules: Original legal text. Not legal advice."}