Fired founder may pursue age discrimination case

The founder of a 501(c)(3) charitable organization may pursue an age discrimination case against her organization when she was told she ought to step aside to make way for a “new generation” of leadership.  A federal District Court in Pennsylvania has denied a motion for summary judgment to dismiss her claim.

Leslie Zuck founded Pennsylvania Certified Organic in 1996 to provide organic farming certifications and education.  She ran the organization until she was terminated in late 2018.

Named Beneficiary Has Standing To Contest Actions of Trustee

Pa. Supreme Court reverses ruling that denied standing when beneficiary’s payment would not be affected

The Pennsylvania Supreme Court has reversed an appellate court decision and has held that a named beneficiary of a trust has standing to contest the actions of a trustee even where a decision would not affect the beneficiary’s annual payout from the trust.  It has held that a violation of the trustee’s duty which affects the beneficiary’s equitable interest in the trust property makes relief available that is equitable in nature, even where the beneficiary cannot demonstrate that she suffered, or will suffer, a monetary loss.

California to Regulate ‘Charitable Fundraising Platforms’

Beginning 2023, state will require registration before enabling solicitation of charitable contributions

After years of uncertainty about the registration requirements for GoFundMe pages, Facebook solicitations, or other internet-based crowd-fundraising methods, California has passed amendments to its charitable solicitation registration act to cover what it calls “charitable fundraising platforms” and “platform charities” and to bring them under regulation by the state Attorney General. 

Court enjoins provisions regulating professional solicitor

A federal District Court in Connecticut has enjoined the state from enforcing some of the charitable solicitation act provisions regulating professional solicitors pending trial on the constitutionality of the rules.  The Court has limited the scope of a preliminary injunction solely to enforcement against the plaintiff in the case, but the ultimate decision could impact the regulation of solicitors generally under state charitable solicitation registration acts.

Director loses standing to sue when not re-elected

A director of a nonprofit corporation who brought suit against her fellow directors for breach of fiduciary duty has lost her standing to continue the litigation when not re-elected to the board in the annual elections, an appellate court in California has ruled.  But her suit is not necessarily terminated because the Court remanded the case to the trial court to see if the state Attorney General would want to intervene or grant “relator status” to the director or another individual to carry the case forward.