[hackerspaces] Hackerspace legal formation and insurance

[Nick Farr (hackerspaces.org)]

The problem with D&O for organizations without investors is that the
polices almost never pay out, if they ever get invoked.  The policies
are more or less a deep pocket for larger entities to help avoid more
costly shareholder litigation.

Ask any of those MBAs and/or Laywers one instance where a D&O policy
paid out for a non-profit and what the circumstance was.  I'm actually
curious, because in all the states I've worked, I've never seen an
organization carry one let alone hear of one claim where the policy
actually covered a definable loss or judgment.

Philippe and Koen are largely correct...but this is no reason to not
carry insurance as required by one's lessors.


-- 
Nick Farr / http://nickfarr.org / 8B13F204
Washington, DC, 20013-1208
P: +1 (707) 676-FARR
F: +1 (866) 536-2616




On Tue, May 25, 2010 at 19:21, Carlyn Maw <carlynorama at gmail.com> wrote:
> What I was hearing was more like if someone gets pissed at your policies, or
> screws up on bookeeping or you miss some a deadline for delivering something
> that is core to your mission, or someone get hurts on a machine and thinks
> it is because the safety training policy wasn't strict enough that the
> officers and directors can end up getting sued. Not as individuals a la
> piecing of the vail, but as officers and directors, even elected or hired
> individuals not on the corp paperwork. But I know a lot of MBAs and Lawyers,
> maybe they're paranoid but they seem pretty adamant...
>
> On Tue, May 25, 2010 at 3:52 PM, Leigh Honeywell <leigh at hypatia.ca> wrote:
>>
>> On 10-05-25 05:15 PM, Carlyn Maw wrote:
>>>
>>> I've been told by a number of people that we should have D&O insurance.
>>> Anyone have any thoughts on that?
>>
>> I was told by a (Canadian, but still seems relevant) lawyer that the main
>> thing D&O covers that a good common general liability policy doesn't is
>> slander/libel.  So if you're going to keep a public blog with controversial
>> content, that would be a good reason to get D&O.
>>
>> -Leigh
>> _______________________________________________
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>> http://lists.hackerspaces.org/mailman/listinfo/discuss
>
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