Fall 2004

What’s New at the Pro Bono Partnership

The Pro Bono Partnership Embarks on Two New Programs in the Areas of Youth and Women’s Issues:  The Partnership has been awarded two new grants to identify the specific legal issues that impact nonprofits providing services to youth (funding provided by the Frances L. & Edwin L. Cummings Memorial Fund) and those that address domestic violence and promote economic self-sufficiency for women (funding provided by the Anne S. Richardson Fund).  Through these projects, the Partnership hopes to help such organizations assess their legal vulnerabilities and inform them about practical steps that can be taken to reduce legal risks.  Look for special workshops that will be offered by the Partnership in 2005 highlighting the legal issues that pose special challenges for such organizations.

New Volunteers:  The Partnership is very pleased to welcome new volunteers!  Click Here for a listing of our newest in-house and law firm volunteers.

Easy Donations:  The Partnership has added a new feature to our website -

Did You Know?

• If you conduct motor vehicle record checks, or use a third-party vendor to conduct criminal history record checks, the resulting reports are considered a “consumer report” and thereby regulated by the Fair Credit Reporting Act (FCRA).  FCRA imposes numerous requirements on employers, including notification to applicants that background checks are being conducted, and if the charity does not hire the applicant due to the results of the check, the charity must provide a copy of the consumer report to the applicant, among other requirements.  
• Approximately 6% of all nonprofits are involved in some sort of lawsuit or claim, and of those, a clear majority (over 90%) of the claims involve employment lawsuits.  Most common claims: wrongful termination, discrimination, and harassment.  Source:  Nonprofits’ Insurance Alliance of California, an insurance pool of 5,500 small to mid-level nonprofits in several states. 

Frequently Asked Questions

Every day nonprofits call the Partnership’s office with questions about how the law impacts day-to-day operations.  New questions addressed in this issue include: how to obtain a duplicate copy of your charity’s Articles of Incorporation…Is tax-exemption automatic for a nonprofit? …Can one charity make a donation to another charity?  By following this link to the Partnership’s website, you can review our staff attorneys’ responses to frequently asked questions.  Click Here

Upcoming Workshops

The Pro Bono Partnership offers LEGAL EDUCATION WORKSHOPS sponsored by JP Morgan Chase, Citibank and others, designed for staff and directors of nonprofit organizations.  Click here for a current calendar and more information.

Legal Alerts and Recent Developments

Federal:

• The Senate is considering major changes to regulations governing tax-exempt organizations, some of which include imposing liability on trustees for irresponsible management of charities.  Stay tuned!  Meanwhile, the IRS has announced that it will step up its audit activity of tax-exempt organizations and has created an Exempt Organizations Compliance Unit to focus on educating the nonprofit sector.  See the following new publications that provide guidance to donors and charities:  
  • Click Here to view or download "A Charity's Guide to Car Donations," Publication 4302;
  • Click Here  for "A Donor's Guide to Car Donations," Publication 4303, which contain information on the tax responsibilities of individuals and charities involved in the car donation process.
  • Click Here to view or download “Life Cycles of Charities,” an article that links to IRS information on significant events in a charity’s life cycle, especially those that impact tax-exempt status.