[24120] in APO-L
Re: [APO-L] Board Liability
daemon@ATHENA.MIT.EDU (Packy Anderson)
Wed Jan 21 10:13:57 2004
Date: Wed, 21 Jan 2004 10:13:34 -0500
Reply-To: Packy Anderson <packy@dardan.com>
From: Packy Anderson <packy@dardan.com>
To: APO-L@LISTSERV.IUPUI.EDU
In-Reply-To: <001f01c3e02c$bae68c00$0cf1af80@famtree>
On Wed, 21 Jan 2004, Michael Gallagher wrote:
> APO is a non-profit corporation. It's been 3 years, but my economics
> teacher my senior year of high school said (when I asked) that nonprofit
> groups would probably be S-corporations. Corporations exist to limit
> liability. A stockholder is only liable for the amount of investment
> s/he has individually in such corporation (ie bankruptcy making the
> shares worthless) & the individual cannot be touched by legal suits
> solely as an investor.
That only applies to finances of the fraternity, Michael. The Board,
however, is still financially liable in any lawsuit involving criminal
liability. There is nothing preventing a disgruntled parent from naming
not only the fraternity, but each individual board member in a lawsuit,
seeking thousands in damages and millions for pain and suffering.
This is why becoming a member of the national board is such a difficult
decision, and our brothers who take on this immense resonsibility deserve
as much thanks as we can muster.
YiLFS,
-packy
--
Packy Anderson packy@dardan.com
In this life, the love you give becomes the only lasting treasure
And what you lose will be what you win
A well that echoes down too deep to measure
A silver coin rings down that well, you could never spend too much,
A diamond echoes deeper still
And you'll always have what you gave to love,
You will always have what you gave to love
