Lead Stories

The Watch Tower Bible and Tract Society of Pennsylvania has been permitted to sue Fifth Third Bank in Ohio for failing to have a customer complete a change of designation form on his “payable on death” accounts even where the Society’s lawyer had filed an entry of appearance in a probate court case determining the rightful owner of the funds. The Court of Appeals of Ohio has said the Society was not precluded from litigating the issue because it was not decided in the earlier case.  (Fifth Third Bank v. Watch Tower Bible & Tract Society of Pennsylvania, Ct. of App., OH, No. 96403, 10/6/11.)

A family foundation has standing to sue a bank for breach of its custodianship agreement between the bank and a foundation donor when the bank’s delay in transferring stock may have cost the foundation about $1.6 million in lost value. The bank had argued that the foundation had no standing to sue because it was not a party to the custodianship agreement.  An appellate court in Massachusetts has ruled that the foundation was an intended beneficiary of the agreement and could pursue the case for its damages.  (The James Family Charitable Foundation v.

We regularly feature answers to questions from readers in our “To the Point” column. The full list can be viewed on the site. 

How can I get my name off board list on website?

The difference between negligence and gross negligence is not in degree or magnitude of inadvertence or carelessness, the Court of Appeals of North Carolina has held. Gross negligence is rather intentional wrongdoing or deliberate misconduct done with conscious or reckless disregard for the rights and safety of others.  (Green v. Kearney, Ct. of App., NC, No. COA11-439, 11/15/11.)

A private fishing club organized as a nonprofit corporation in Kentucky has the authority to remove members who fail to meet the bylaw requirements for membership, the Court of Appeals of Kentucky has held.  The members have no claim for breach of fiduciary duty against the directors who made the decision because the directors owe their fiduciary duty to the corporation and membership has a whole, not to individual members.  (Fenley v. Kamp Kaintuck, No. 2010-CA-001926, 11/10/11.)

A unanimous U.S. Supreme Court has confirmed the existence of a Constitutionally-required “ministerial exception” that prevents the use of standard employment discrimination law against religious institutions selecting “ministers” who personify their beliefs and promote their faith.  But the Court has left for later decisions a determination of the exact contours of the definition of a “minister.”  (Hosanna-Tabor Evangelical Lutheran Church and School v.