Search

A fundamental rule in the law of corporations is that ultimate authority for managing the affairs of the corporation is vested in the board of directors of that organization. Because [...]

Got insurance? Think you're covered? Look again. Many associations spend hundreds of hours and thousands of dollars comparing insurance policies. When these associations finally make a decision, they think their [...]

An overview of important personal issues every association executive must address. Aside from addressing the many organizational issues inherent in running an association, it is important that you also take [...]

When is it reasonable--and legal--to look into an employee's business on and off the job? Do you as an employer have the right to gain access to and read personal [...]

Staying on top of ever-changing tax rules. In recent years, Congress has significantly changed the tax treatment of many common forms of compensation provided by associations to their executives. Because [...]

From a legal perspective, a non-profit organization differs markedly from a for-profit corporation. In addition, a number of legal and tax-related issues distinguish one type of nonprofit organization from another [...]

Background and reference checks present a dilemma for associations: Failure to do any sort of check can open the association to negligence suits if a new hire causes injury to [...]

Almost since its original adoption in 1946, the Federal Regulation of Lobbying Act has suffered from vagueness, lack of enforcement, and lax compliance. But it was not until late in [...]

A Supreme Court action taken in April and another late last year could alter age-discrimination claims. Two recent actions taken by the U.S. Supreme Court could significantly affect employee claims [...]

Association and staff alike can benefit from a Section 125 plan. 'Cafeteria plans' are fringe-benefit plans that allow employees to choose the benefits they want from their employer, including cash [...]

When forming a subsidiary makes sense, begin with these guidelines. The most common types of related entities in which associations become involved are for-profit subsidiaries and charitable foundations. Here are [...]

Make sure you understand the tax, antitrust, privacy, and postal issues involved before you put your list on the market. Fear of legal consequences keeps some associations from selling their [...]

The practical issues can be more burdensome than the legal ones. Codes of ethics raise three major legal issues. Antitrust issues. There are two main antitrust concerns. First, nothing in [...]

Pros, cons, and advice for when you choose the arbitration alternative. Before signing a hotel contract, consider whether you would like an arbitration clause. Arbitration can be a wise alternative [...]

Here's a rundown on the risks involved and how to prevent them. Many associations either receive or solicit a wide range of proposals whereby the association agrees to endorse a [...]

You have more negotiating power you might think. You receive a letter from the Internal Revenue Service notifying your association that a tax form wasn't filed for last year, that [...]

While it is perfectly legal and legitimate for trade associations that are tax-exempt under Section 501(c)(6) of the Internal Revenue Code to have political action committees, the laws governing PACs [...]

Exercise extreme caution in this area, or your association could wind up with big overtime pay problems. Under the Fair Labor Standards Act (FLSA), executive, administrative, and professional employees are [...]

A review of the antitrust laws that can affect your association. Violation of an antitrust law by an association is uncommon. Still, because a violation can spell ruin in terms [...]

Test each relationship your association has with the people it hires. The issue of whether a person is an independent contractor or an employee continues to arise in a host [...]

Find out what rights members and associations have. More and more associations, in the name of 'diversity,' are requesting information about their members' and applicants' race, religion, and age. Associations [...]

Two recent court cases offer insight into the requirements. Here's a section of the Americans With Disabilities Act (ADA) that you must follow if your association sponsors a certification or [...]

The IRS is taking a stricter stance on what it considers taxable. When considering whether a particular program or service tied to a tax-exempt organization is taxable, the Internal Revenue [...]

Before deciding, weigh the disadvantages as well as the advantages of tax exemption. In recent years, some associations have given up the tax-exempt status that so many other associations have [...]

When the Equal Employment Opportunity Commission finishes with harassment, it will refer to a great deal more than sexual comments and behaviors. Although sexual harassment gets all the attention, the [...]

What should you be paid? During my first year in law school, I lived at the Harvard Business School and learned a major principle of business management: Pay the good [...]

Additional insight into the implications of OBRA '93. The new rule on spouse travel expenses, which was established by the Omnibus Budget Reconciliation Act (OBRA) of 1993, continues to cause [...]

How to minimize the risks of board service. From a purely statistical standpoint, it could be argued that personal liability of directors of associations is not a significant problem. Of [...]

How you and your association are affected by the new act. Without question the most significant provisions of the Omnibus Budget Reconciliation Act of 1993 for associations concern lobbying, and [...]

A lot rides on your reason--and on your hotel contract. With hotel demand requiring space reservation several years prior to a convention, associations suffer from an obvious disadvantage: It is [...]

Taking 'reasonable care' of attendees. Legal liability can arise in a number of ways at association events. Personal injury liability. People who attend meetings and expositions are considered 'business invitees' [...]

Where the lines of responsibility are drawn. Should a national association be not just curious but concerned about the activities of its chapters? After all, it typically is not possible [...]

What to get in writing--and why. Association chief executive officers today should not be without employment contracts--in most cases. The dynamic nature of the association business makes the document essential. [...]

Dismissal do's and don'ts for following the law. Firing an employee has become a fearful experience because of all the actions available today to people dismissed from their jobs. While [...]

Who may inspect association documents? The question of who has access to association records arises in a number of contexts. The answer begins by defining records. Both the federal government [...]

What questions you may ask and how you may ask them. Increasingly associations have questions about the kind of preemployment inquiries they can make concerning disabilities of prospective employees or [...]

Guidelines on what to examine. With all the new laws that have been passed in the last couple of years--and more likely to come with the new administration--now is a [...]

Four measures for minimizing the personal liability of directors of associations are described. These involve making informed, reasoned decisions, supervising the conduct of officials running the day-to-day business of the association, avoiding misuse of office and acquiring indemnification and liability insurance. The adoption by states of volunteer protection statutes is also a promising method for reducing the personal liability risks of non-profit directors.

The fiduciary duty owed an association by its officers and directors includes loyalty. A breach of that duty--whether a board member serves with or without compensation--typically involves a conflict of [...]

When it comes to expulsion, above all be fair. Do you have the right to expel or suspend a member who continually fails to pay dues? A member who no [...]

As a CEO, you're entitled to compensation that builds your net worth. One of the basic assumptions of business is that profit is the primary reason for operation. The same [...]

Your hiring criteria should pass these tests. Is it time to review your hiring practices? New legislation such as the Americans With Disabilities Act (ADA) and policies adopted by the [...]

How to protect your membership list from profiteers. Can your association copyright the membership directory? The recent Supreme Court decision in Feist Publications, Inc., v. Rural Telephone Service Company changed [...]

Whether employers can regulate employees' off-duty conduct is a particularly acute question for associations. First, many associations are advocates, representing particular positions. A staff person whose off-the-job behavior is at [...]

Tax-exempt organizations do change. A Section 501 (c) (3) educational group may find the membership becoming more professional and itself more commercial. Unless the association changes its status to 501 [...]