Nakahara v. NS 1991 American Trust

OPINION

CHANDLER, Chancellor.

Plaintiffs are managing trustees of a Delaware business trust seeking advance indemnification from the trust under an advancement provision in the trust’s governing instrument. The trust agrees that plaintiffs are entitled to advancement. A beneficiary of the trust’s parent trust objects to the advancement on the- grounds that the Delaware Business Trust Act does not permit business trusts to advance litigation expenses to trustees and, even so, plaintiffs have not satisfied the pre-condi-tions set forth in the business trust’s advancement provision. I find that…