Ohio Code § 1745.33

Ohio Code § 1745.33. Reproduced from the official Ohio Revised Code, with a citation summary, verification link, and related provisions.

§ 1745.33.

(A) Except when the law or the governing principles require that action be otherwise

authorized or taken, all of the authority of an unincorporated nonprofit association

shall be exercised by or under the direction of its manager or managers. (B) The only fiduciary duties a manager owes to the association are the duties set forth

in this division.  The duties of a manager are to act in good faith, in a manner the manager reasonably

believes to be in or not opposed to the best interests of the unincorporated nonprofit

association, and with the care that an ordinarily prudent person in a similar position

would use under similar circumstances.  A manager serving on a committee of managers is acting as a manager. (C) In performing the duties of a manager, a manager is entitled to rely on information,

opinions, reports, or statements, including financial statements and other financial

data, that are prepared or presented by any of the following: (1) One or more managers, officers, or employees of the association who the manager reasonably

believes are reliable and competent in the matters prepared or presented; (2) Counsel, public accountants, or other persons as to matters that the manager reasonably

believes are within the person's professional or expert competence; (3) A committee of the managers in which the manager does not serve, duly established

in accordance with a provision of the governing principles as to matters within its

designated authority, which committee the manager reasonably believes to merit confidence. (D) For purposes of division (B) of this section, the following apply: (1) A manager shall not be found to have failed to perform the manager's duties in accordance

with that division, unless it is proved by clear and convincing evidence in an action

brought against the manager that the manager has not acted in good faith, in a manner

the manager reasonably believes to be in or not opposed to the best interests of the

unincorporated nonprofit association, or with the care that an ordinarily prudent

person in a similar position would use under similar circumstances.  An action under division (D)(1) of this section includes, but is not limited to,

an action that involves or affects any of the following: (a) A change or potential change in control of the association; (b) A termination or potential termination of the manager's service to the association

as manager; (c) The manager's service in any other position or relationship with the association. (2) A manager shall not be considered to be acting in good faith if the manager has knowledge

concerning the matter in question that would cause reliance on information, opinions,

reports, or statements that are prepared or presented by any of the persons described

in divisions (C)(1) to (3) of this section, to be unwarranted. (3) The provisions of division (D) of this section do not limit relief available under section 1745.42 of the Revised Code . (E)(1) Subject to divisions (E)(2) and (3) of this section, a manager is liable in damages

for any act that the manager takes or fails to take as manager only if it is proved,

by clear and convincing evidence, in a court with jurisdiction that the act or omission

of the manager was one undertaken with a deliberate intent to cause injury to the

association or was one undertaken with a reckless disregard for the best interests

of the association. (2) Division (E)(1) of this section does not affect the liability of a manager under section 1745.56 of the Revised Code . (3) Subject to division (E)(2) of this section, division (E)(1) of this section does

not apply if, and only to the extent that, at the time of an act or omission of a

manager that is the subject of the complaint, the governing principles of the association

state by specific reference to division (E)(1) of this section that its provisions

do not apply to the association. (F) For purposes of this section, in determining what a manager reasonably believes to

be in or not opposed to the best interests of the association, a manager shall consider

the purposes of the association and may consider any of the following: (1) The interests of the employees, suppliers, creditors, and customers of the association; (2) The economy of this state and of the nation; (3) Community and societal considerations; (4) The long-term and short-term best interests of the association, including, but not

limited to, the possibility that those interests may be best served by the continued

independence of the association. (G) Divisions (E) and (F) of this section do not affect the duties of a manager who acts

in any capacity other than in the capacity as a manager.

Source: official Ohio text · Last verified 2026-08-27

At a glance

  • Citation: Ohio Revised Code § 1745.33
  • Jurisdiction: Ohio
  • Code: Ohio Revised Code
  • Text: transcribed from the official source (verify below)

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Statute text is transcribed from the official Ohio Revised Code. Confirm it against the primary source before relying on it:

Not legal advice. Verify against the official source and consult a licensed Ohio attorney.

Common questions

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