Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 198

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 198
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 of NXDT or, in the case of any criminal proceeding, as to which he shall have had reasonable cause to believe that the conduct was unlawful. Subject to (a) the party seeking indemnification providing a written affirmation that he or she possesses a good faith belief that the standards of conduct necessary for indemnification have been met and undertaking to reimburse NXDT unless it is subsequently determined that the party is entitled to such indemnification and a majority of the NXDT Board determines that the standards of conduct necessary for indemnification appear to have been met, and (b) at least one of the following conditions being met: (x) the NXDT Indemnitee providing adequate security for the undertaking, (y) NXDT being insured against losses arising by reason of any lawful advances or (z) a majority of a quorum of the NXDT Board not party to the action, or if a majority vote of such quorum so direct, independent legal counsel in a written opinion, concluding, based on a review of readily available facts, that there is substantial reason to believe that the party ultimately will be found entitled to indemnification—NXDT has agreed to make advance payments in connection with the expenses of defending any action with respect to which indemnification might be sought under the NXDT Declaration. |

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| NHT                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |     | NXDT                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |     | The NXDT Declaration also grants NXDT the power and authority to indemnify and provide for the advance payment of expenses to employees, agents and other persons providing services to NXDT or serving in any capacity at the request of NXDT to the full extent permitted by law, provided that such indemnification has been approved by a majority of NXDT’s trustees.                                                                                                                                                                                                                    
 Insofar as indemnification for liabilities arising under the Securities Act may be permitted to trustees, officers or persons controlling NXDT pursuant to the foregoing provisions, NXDT has been informed that in the opinion of the SEC such indemnification is against public policy as expressed in the Securities Act and is therefore unenforceable.                                                                                                                                                                                                                                   |
| Authorized Capital                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| NHT is authorized to issue an unlimited number of Units. Each Unit represents a proportionate undivided beneficial ownership interest in NHT. No Unit shall have any preference or priority over any other. Units shall rank among themselves equally and rateably, without discrimination, preference or