The answer to this question will depend on looking closely at the facts of the chamber's relationship with the city. The receipt of some payments or grants, by itself, is not the issue. The question is the relationship between the chamber and the city.

Under Missouri law, the Sunshine... Read more »

Unfortunately, the email vote is not valid under Florida's nonprofit corporations act because there was not unanimous consent.

Florida allows board action to be taken in three ways: (a) a physical (in person) meeting, (b) a meeting by electronic communication "through the use of,... Read more »

You ask a question that many founders of nonprofits ask. And lawyers who work with nonprofits inevitably deal with the situation that you fear: a board of directors who develop a different view of the direction to take the organization than the founder's view, resulting in strife and board... Read more »

The requirement for three unrelated directors is not a hard and fast rule. It is true that the IRS's Technical Guidance (the internal document that IRS uses to guide its revenue agents if they find themselves auditing a 501(c)(3)) teaches their agents that a small board of related people might... Read more »

This is a nuanced question. But to summarize the following: (a) he probably does not have a right to inspect and copy under Section 1602; (b) but he does have a right to inspect and copy under a different section (Section 6334); (c) you probably are not required to make copies for him, and can... Read more »

You basically have two choices. The first option is to start a new not for profit in Florida and wrap up the Indiana nonprofit. The second option is to leave the Indiana nonprofit in place and to file paperwork with the Florida to operate as a "foreign not for profit" in Florida. Which... Read more »

The general rule for public benefit corporations is that "Any member may authorize another person or persons to act by proxy with respect to such membership." Corp Code Sec 5613(a). However, that section says that "this right may be limited or withdrawn by the articles or bylaws,... Read more »

Let's start with the FY21 financial report. Under Georgia law, a nonprofit corporation "shall furnish" a member with a copy of "its latest prepared annual financial statements ... in reasonable detail as appropriate, that include a balance sheet as of the end of the fiscal year... Read more »

It's very unlikely that you need to file anything with the state to add new directors. It is likely that your 501(c)(3)'s bylaws contain a provision that sets out the minimum and maximum numbers of directors and how the directors are chosen. To add new directors, your most likely course... Read more »

An unincorporated association does not need permission from the Secretary of State to give away its property and dissolve, but an unincorporated association that exists for charitable purposes almost certainly needs to get permission from the Attorney General's office. Groups that have assets... Read more »

The law allows for voting by mail or email, but the question of whether a particular organization can take advantage of those methods depends on certain facts.

To start with "unless prohibited in the articles or bylaws, any action which may be taken at any regular or special meeting of... Read more »

To answer your first question, "can a nonprofit operate a for-profit," there is nothing that prohibits this and it happens fairly frequently. Depending on the details, the for-profit enterprise can be a wholly- or majority-owned subsidiary of the nonprofit. You will want to be very... Read more »

It depends.

Let's start with one assumption: that there is no provision in the corporation's bylaws or other governing documents that requires distributions. If the governing body of the corporation has voted to require annual distributions, then the leadership of the... Read more »

Congratulations on starting your nonprofit. You have chosen an unusual path by using the LLC formation method. One of the first things you will likely want to do is to file a "statement of information" with the Secretary of State -- usually within about 90 days from when you filed your... Read more »

Even though your church is not a business, in California it was probably organized as a "Religious Corporation" under the California nonprofit corporations law. Corporations in California, even churches, are required to file a "Statement of Information" with the California... Read more »

You will almost certainly need to re-draft your Articles of Incorporation if you want to convert from a for-profit corporation to a not-for-profit corporation.

First, under Illinois law your new not-for-profit is required to have, as its purpose, one of the allowable purposes listed in the... Read more »

You can almost certainly get a copy directly (and anonymously) from the New York Attorney General's office website. Go to the AG's office's Charities Bureau online. (https://www.charitiesnys.com/home.html) Enter the name of the 501(c)(3) in the "Search Charities Registry"... Read more »

It depends. Because you tagged this question with both "business" and "employment," I'm assuming that the profit-sharing contract you are asking about is a contract with an employee of the nonprofit organization. If so, you are dealing with a question involving a topic that... Read more »

A short answer is "no and yes."

Here's a longer answer: Any corporation in Kansas, including a nonprofit corporation, will generally lose their ability to engage in the purpose for which they were formed once they have been administratively dissolved. That's the... Read more »

Like almost any good legal question, the answer is "it depends." Generally, an individual person can be given the ability to hire and fire employees without calling for a board vote. But a more specific answer is that you should look at your association's bylaws. Under Maryland law,... Read more »