524.702 Officers — duties and liability. 1. All officers of a state bank shall have such authority and perform such duties in the management of the state bank as may be provided for in the articles of incorporation or thebylaws, or as may be determined by a resolution of the board of directors not inconsistentwith the bylaws or the articles of incorporation. 2. If an officer willfully or negligently submits any incorrect information to a director or directors, and action by the board of directors contrary to the provisions of this chapter, orof any restrictions in the articles of incorporation, is taken in reliance thereon, the officershall be liable to the same extent as if the officer were a director voting for or assenting tosuch action, as provided in section 524.605. An officer shall also be liable to the extent ofany loss sustained by the state bank as a result of the officer’s willful or negligent violationof any provision of this chapter. The superintendent may require an officer or officers whomthe superintendent reasonably believes to be liable to a state bank pursuant to this section,to place in an escrow account an amount sufficient to discharge such liability in the icer or officers whomthe superintendent reasonably believes to be liable to a state bank pursuant to this section,to place in an escrow account an amount sufficient to discharge such liability in the mannerprovided for in section 524.605. No officer shall be deemed to be negligent within the meaningof this section if the officer exercised that diligence, care and skill which an ordinarily prudentperson would exercise as an officer under similar circumstances. [C97, §1886; C24, 27, 31, 35, 39, §9281; C46, 50, 54, 58, 62, 66, §528.83; C71, 73, 75, 77, 79, 81, §524.702] Sat Dec 23 01:16:02 2023 Iowa Code 2024, Section 524.702 (22, 0)
Iowa Legal Code