Nonprofits are governed be a broad range of laws that affect every
aspect of what they do and directly impact their executives, trustees
and directors. Nonprofits too often get into trouble because they do not
know the laws that impact the conduct of their activities.
For example, do you know what distinguishes a nonprofit entity from a
for-profit business? It is not that a nonprofit cannot make money
(although many, perhaps most, do not). Here's the difference according
to the Supreme Court:
A nonprofit entity is ordinarily understood to differ from a
for-profit corporation principally because it ‘is barred from
distributing its net earnings, if any, to individuals who exercise
control over it, such as members, officers, directors, or trustees.’"
This principle underlies everything a nonprofit does. Failure to heed
this rule in any of a nonprofit's activities can result in severe
penalties to members of its governing body (e.g., directors, trustees,
etc.) and can result in loss of tax exempt status. In other words,
complete disaster.
The Law Firm for Non-Profits helps its clients achieve their goals by
avoiding violations of the law -- and the risks to the organization, its
executives and board members that can thus result. With our
expertise, we counsel nonprofits, their staff and boards on how to carry
out their objectives while not running afoul of the law.
Whenever a questions arises about what your nonprofit should or
should not do, or whether a particular action could result in liability
for its staff or board members, you owe it to yourself to consult The
Law Firm for Non-Profits.
We have been trusted by many of the nation's most prestigious
nonprofit organizations to guide them to success and to keep them out of
harm's way.
Here's what some of them
say about us. We can do the same for you.
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