1711 Safety valves for office terms

The U.S. Court of Appeals recently interpreted Indiana's Nonprofit Corporation Act to decide whether the term of a director for a family foundation had ended. If it had, her reelection and a gift from the foundation would be void.

But the statute, the foundation's bylaws, and the electing resolution all provided that directors would serve until the later of their term's end or their replacement taking office. The case emphasizes that organizations should understand their state's statutes and carefully draft language relating to office terms. It also teaches that Indiana doesn't permit nonprofit directors to bring derivative actions on behalf of the corporation. You can read the opinion here: http://media.ca7.uscourts.gov/cgi-bin/rssExec.pl?Submit=Display&Path=Y2017/D02-01/C:15-3734:J:Hamilton:aut:T:fnOp:N:1905535:S:0 You can listen to the oral argument here: http://media.ca7.uscourts.gov/sound/2016/lj.15-3734.15-3734_12_09_2016.mp3

Subscribe to the Law Meets Gospel Podcast iTunes RSS Connect to Law Meets Gospel @LawMeetsGospel www.facebook.com/LawMeetsGospel Support the Law Meets Gospel Podcast Patreon.com Sign up to contribute an amount you choose for each episode the Law Meets Gospel Podcast publishes.