{"data":{"id":"us-ky/krs-271b.8-320","jurisdiction":"us-ky","citation":"KRS 271B.8-320","heading":"Loans to directors.","body":"(1) Except as provided by subsection (3) of this section, a corporation may not lend\nmoney to or guarantee the obligation of a director of the corporation unless:\n(a) The particular loan or guarantee is approved by a majority of the votes\nrepresented by the ou tstanding voting shares of all classes, voting as a single\nvoting group, except the votes of shares owned by or voted under the control\nof the benefited director; or\n(b) The corporation's board of directors determines that the loan or guarantee\nbenefits the corporation and either approves the specific loan or guarantee or a\ngeneral plan authorizing loans and guarantees.\n(2) The fact that a loan or guarantee is made in violation of this section shall not affect\nthe borrower's liability on the loan or the corporation's liability on the guarantee.\n(3) This section shall not apply to loans and guarantees authorized by statute regulating\nany special class of corporations.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=13391","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:19Z","sha256":"174a060b56ab8f4d3095f5294e66687bcb340297b10a6ef9ba2f6b57505ce560","source_id":"us-ky","stale":false,"prev":"us-ky/krs-271b.8-310","next":"us-ky/krs-271b.8-330"},"notice":"GroundRules: Original legal text. Not legal advice."}