North Skunk River Greenbelt Association, Inc. v. Allen
North Skunk River Greenbelt Association, Inc., Plaintiff-Appellee
Scott Allen, Travis Yeggy, Mike Riddle, Stephen L. Maxon as Administrator of the Doris E. Park Estate, Irma Altenhofen, and Friends of Bunker Mill Bridge, Inc. (a/k/a Friends of Bunker Mill Bridge/Friends of Bunker Mill Bridge Association), Defendants/Third-Party Plaintiffs-Appellants,
Julie Bowers, as Executor Director of North Skunk River Greenbelt Association, Inc., Third Party Defendant-Appellee.
Attorney for Appellants
Attorney for Appellee
Lanny M. Van Daele
Court of Appeals
Court of Appeals Opinion
Appeal from the Iowa District Court for Washington County, Randy S. DeGeest, Judge. AFFIRMED IN PART, REVERSED IN PART, AND REMANDED. Heard by Bower, P.J., and May and Greer, JJ. Opinion by Greer, J. (20 pages)
The defendants appeal a bench ruling denying their claims and concluding they were not entitled to indemnification. OPINION HOLDS: We conclude Scott Allen and Doris Park were not validly removed as directors of the nonprofit corporation and are therefore entitled to mandatory indemnification for reasonable expenses incurred while defending the lawsuit, and we remand to the district court for a calculation of those reasonable expenses. We further conclude that the defendants failed to prove their conversion claims, they were not entitled to judicial dissolution of the nonprofit corporation, and they failed to establish an abuse of discretion with regard to the district court’s denial of sanctions.