New York Business Corporation - Article 7 - § 715 Officers
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New York Laws > New York Business Corporation (BSC) > New York Business Corporation - Article 7 - § 715 Officers
§ 715. Officers.
(a) The board may elect or appoint a president, one or more
vice-presidents, a secretary and a treasurer, and such other officers as
it may determine, or as may be provided in the by-laws.
(b) The certificate of incorporation may provide that all officers or
that specified officers shall be elected by the shareholders instead of
by the board.
(c) Unless otherwise provided in the certificate of incorporation or
the by-laws, all officers shall be elected or appointed to hold office
until the meeting of the board following the next annual meeting of
shareholders or, in the case of officers elected by the shareholders,
until the next annual meeting of shareholders.
(d) Each officer shall hold office for the term for which he is
elected or appointed, and until his successor has been elected or
appointed and qualified.
(e) Any two or more offices may be held by the same person. When all
of the issued and outstanding stock of the corporation is owned by one
person, such person may hold all or any combination of offices.
(f) The board may require any officer to give security for the
faithful performance of his duties.
(g) All officers as between themselves and the corporation shall have
such authority and perform such duties in the management of the
corporation as may be provided in the by-laws or, to the extent not so
provided, by the board.
(h) An officer shall perform his duties as an officer in good faith
and with that degree of care which an ordinarily prudent person in a
like position would use under similar circumstances. In performing his
duties, an officer shall be entitled to rely on information, opinions,
reports or statements including financial statements and other financial
data, in each case prepared or presented by:
(1) one or more other officers or employees of the corporation or of
any other corporation of which at least fifty percentum of the
outstanding shares of stock entitling the holders thereof to vote for
the election of directors is owned directly or indirectly by the
corporation, whom the officer believes to be reliable and competent in
the matters presented, or
(2) counsel, public accountants or other persons as to matters which
the officer believes to be within such person's professional or expert
competence, so long as in so relying he shall be acting in good faith
and with such degree of care, but he shall not be considered to be
acting in good faith if he has knowledge concerning the matter in
question that would cause such reliance to be unwarranted. A person who
so performs his duties shall have no liability by reason of being or
having been an officer of the corporation.
Section: 708 709 710 711 712 713 714 715 716 717 718 719 720 721 722
Last modified: March 4, 2013