How might a nonprofit organization enforce its rights against third parties?
Nonprofit organizations in California may enforce their rights against third parties through the courts. The court system offers a variety of remedies, including injunctions, damages, specific performance and other equitable relief. An injunction is a court order prohibiting another party from taking a certain action or compelling a party to take a certain action. Damages are monetary awards made to compensate an injured party for a wrong committed against that party. Specific performance is a court order directing a party to take a certain action or to perform a contract in the way it was originally agreed upon. Lastly, equitable relief is a court order requiring the party to take some action which is fair and reasonable under the circumstances. In order to enforce their rights, a nonprofit must be able to show that it has been wronged by another person or party. Depending on the particular circumstances of the case, the nonprofit may need to prove that the other party was in breach of contract, negligently caused harm, or intentionally wronged the organization. Once it is shown that the nonprofit has been wronged, it may then pursue legal remedies in the form of damages, equitable relief, specific performance or an injunction. In addition to suing in court, a nonprofit may also seek to protect its rights by filing a complaint with the California attorney general’s office. The attorney general can investigate complaints and take appropriate action, such as issuing a cease and desist letter, imposing civil fines or engaging in negotiations for a settlement agreement. Depending on the situation, the attorney general may also provide the nonprofit with information about applicable state and federal laws, which can be used to enforce rights against third parties.
Related FAQs
Are there any restrictions on how a nonprofit can solicit donations?What are the requirements concerning the use of nonprofit assets?
How should a nonprofit organization handle its debts?
Are there any restrictions on the types of investments a nonprofit can make?
What type of activities could constitute a breach of fiduciary duty by a nonprofit organization?
Are there any restrictions on the types of investments a nonprofit can make?
How does a nonprofit organization obtain federal tax exemption?
What type of information must be disclosed when a nonprofit organization receives donations?
How should a nonprofit organization handle conflicts of interest?
How can a nonprofit organization accept corporate donations?
Related Blog Posts
How Nonprofit Organizations Law Impacts Charitable Giving - July 31, 2023Taking Advantage of Nonprofit Organization Tax Exemptions - August 7, 2023
Tips for Establishing a Nonprofit Organization According to the Law - August 14, 2023
What Every Nonprofit Leader Needs to Know About Compliance - August 21, 2023
A Guide to Understanding Nonprofit Organizations Law - August 28, 2023