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by jacquesm 1192 days ago
Not necessarily for investors, unless it can be shown that they have incurred liability beyond their investment.
1 comments

Many investors like to have a board seat, which makes them an officer of the company
True, but getting a board to be liable has a very high standard of proof. If not then there wouldn't be any boards, the compensation would not outweigh the risks.
Given the choice between bridging some cash (knowing that the full faith and credit of the US government backs the funds being bridged), or having the possibility of getting dragged into proceedings in the future, which at best would increase my liability insurance premiums, I'd pick the former.