Practice question
A BSP-related official proceeding ends in settlement. An official demands indemnification merely because no court entered a final adverse judgment. External counsel has not advised that the official avoided the disqualifying conduct identified in amended Section15(e). Which answer best applies the settlement paragraph?
- Settlement indemnification requires the specified advice of external counsel regarding the matters covered; absence of an adverse judgment alone is insufficient
- Every settlement requires unconditional indemnification
- Only the official’s personal belief substitutes for external-counsel advice
- The settlement paragraph was never amended by RA11211
- A private counterparty may repeal the statutory condition
Legal references
- RA11211 amendments to RA7653: https://lawphil.net/statutes/repacts/ra2019/ra_11211_2019.html Section4, amended Section15(e), settlement paragraph.
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