Advance for expenses

A corporation may, before final disposition of a proceeding, advance funds to pay for or reimburse the reasonable expenses incurred by a director who is a party to a proceeding by reasons of being a director if the director delivers to the corporation: (1) A written affirmation of the director's good faith belief that the director has met the relevant standard of conduct described in § 47-1A-851 or that the proceeding involves conduct for which liability has been eliminated under a provision of the articles of incorporation as authorized by subdivision 47-1A-202.1 (4); and (2) The director's written undertaking to repay any funds advanced if the director is not entitled to mandatory indemnification under § 47-1A-852 and it is ultimately determined under § 47-1A-854 or § 47-1A-855 that the director has not met the relevant standard of conduct described in §