Effect of providing insurance or other financial arrangements against liability of member, manager, employee or agent. In the absence of fraud:
1. The decision of a limited-liability company as to the propriety of the terms and conditions of any insurance or other financial arrangement made pursuant to NRS 86.461 and the choice of the person to provide the insurance or other financial arrangement is conclusive; and
2. The insurance or other financial arrangement:
(a) Is not void or voidable; and
(b) Does not subject any manager or member approving it to personal liability for his action,
Ê even if a manager or member approving the insurance or other financial arrangement is a beneficiary of the insurance or other financial arrangement.
Last modified: February 26, 2006