Richards Layton & Finger

The Right Protection: More on Advancement and Indemnification

December 2008

In three recent opinions, the Delaware Court of Chancery has addressed the scope of indemnification and advancement bylaws and has made some statements that may come as a surprise to corporate practitioners. In one of those cases, the Court held that an unvested right to indemnification or advancement in a corporation's bylaws could be eliminated through an amendment to those bylaws.