Recent posts in Charities & Not For Profits

There’s an interesting Public Forum on Economic Inequality and Business scheduled for the Asper School at the University of Manitoba next week. It’s called “What Does “Occupy” Mean to Business and How Should Businesses Respond?”

Newspapers have been full of stories about naming rights and sponsorships gone wrong. The Aquarium of the Pacific in Long Beach, California had to decide this week whether to proceed with the opening of the BP Sea Otter Habitat or return BP’s $1 million donation, following BP’s oil rig spill in the Gulf of Mexico. The Aquarium chose to proceed, but BP officials did not attend the opening. What happens in these circumstances, when the commitment already has been made? For example, can the owner who granted the naming rights simply, and unilaterally, unwind the agreement?

Companies should eliminate the risk of having to make legal arguments as to whether an invention or work was created in the course of employment, and should take steps to prevent employees from using the company’s IP for the benefit of future employers. This can be accomplished by including appropriate terms in the employment agreement.

Charities and advocates for charities have long been calling for the elimination of the disbusrement quota as “an unduly complex and costly administrative burden on charities”. The federal government’s Budget 2010 has responded with proposals to reform the disbursement quota. A summary of the changes was included inthe most recent TDS newsletter.

I have been asked on more than a few occasions to review corporate by-laws to confirm for clients whether or not there is an indemnity clause in favour of directors and officers. Under an indemnity clause, the company agrees to indemnify its directors and officers and former directors and officers (which I will simply refer to as “Directors”) if they are sued while acting in their capacity as Directors. Sometimes the request comes from the company, and sometimes it comes from an individual considering an invitation to sit on the board of directors of a company, whether for-profit, non-profit or charitable.