Another Charity Wins Injunction Against Requirement for Schedule B

Court rules that California’s demand for names of donors, as applied, violates group’s Constitutional rights

A second charity dealing with controversial issues has won a permanent injunction against enforcement of California’s demand that an unredacted Schedule B has to be filed with the state in order to register for charitable solicitation in the state.  The Thomas More Law Center has won the injunction against Secretary of State Kamala Harris on the ground that enforcement of the demand for the list of major contributors would violate the center’s Constitutional rights.

Bank May Attach Income From CRUT

State law disregards spendthrift protection in trust created by beneficiary

A bank holding a judgment against the income beneficiary of a charitable remainder unitrust may attach and collect the income from the beneficiary despite a “spendthrift” provision in the trust preventing a creditor from attaching the income, an appellate court in Arizona has held.  Interpreting the Washington state law that all parties agreed was applicable to the trust, it has held that state law specifically provides that a spendthrift provision does not apply to a trust created by the beneficiary.

Union member may compel membership list

A union member may compel a union, incorporated under the Oregon Nonprofit Corporation Act, to provide a membership list including names and email addresses, but the union did not violate the law by submitting a proposal to the members to become an unincorporated association, according to the Court of Appeals of Oregon.

Fired employee can’t recover from co-workers

The fired deputy director of the Marshfield Clinic Research Foundation in Wisconsin cannot recover damages from co-workers who he claimed tortiously interfered with his at-will employment, the Seventh Circuit Court of Appeals has ruled.  The statements they made during consideration of the deputy director’s status were substantially true, it said.

Interpreting what it believed state courts would hold, the Court said the employee could not collect when the statements were substantially true, “no matter the motives underlying those statements.”

Charity can’t reopen estate of which it had notice

The Salvation Army office in New York cannot open an estate proceeding that gave $1.5 million to a community foundation in Ohio for the benefit of two local Salvation Army organizations, a Court of Appeals has held.

Property occupied by subsidiary not exempt

Real estate occupied solely by a wholly controlled subsidiary of a volunteer fire company is not exempt from real estate taxes in Pennsylvania, the state’s Commonwealth Court has held.