District of Columbia Code
Part C - Directors
§ 29–406.32. Loans to or guarantees for directors and officers

(a) A nonprofit corporation shall not lend money to or guarantee the obligation of a director or officer of the corporation.
(b) This section shall not apply to:
(1) An advance to pay reimbursable expenses reasonably expected to be incurred by a director or officer;
(2) An advance to pay premiums on life insurance if the advance is secured by the cash value of the policy;
(3) Advances pursuant to part E of this subchapter;
(4) Loans or advances pursuant to employee benefit plans;
(5) A loan secured by the principal residence of an officer; or
(6) A loan to pay relocation expenses of an officer.
(c) The fact that a loan or guarantee is made in violation of this section shall not affect the borrower’s liability on the loan.
(July 2, 2011, D.C. Law 18-378, § 2, 58 DCR 1720.)
This section is referenced in § 29-403.02.

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