LYNCH, Chief Judge.
In 2009, the Clark School for Creative Learning, Inc. and its director, Jeffrey Clark, were sued in state court by two of the School's donors. The donors sought return of a $500,000 gift on their claim that the gift had been induced by misrepresentations. The case settled and the School returned some part of the gift. The School then filed suit in federal court, seeking defense costs and indemnity under a directors and officers ("D & O") liability...
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