Operating a nonprofit organization is a rewarding endeavor that allows passionate individuals to serve their communities and advocate for meaningful causes. However, nonprofits must navigate complex legal and regulatory frameworks that differ significantly from those applicable to businesses and individuals. Engaging a qualified nonprofit lawyer is essential to maintaining compliance, safeguarding your organization’s mission, and avoiding potential legal pitfalls. At May Herr & Grosh LLP, we understand the critical role a nonprofit attorney plays in helping organizations remain compliant and effective.
Understanding Regulatory Obligations
Nonprofits are subject to numerous state and federal regulations. These include registration requirements, tax-exempt status maintenance, reporting obligations, and adherence to fundraising laws. A skilled nonprofit lawyer ensures your organization understands and meets these obligations, significantly reducing the risk of fines, penalties, or even loss of nonprofit status.
Maintaining 501(c)(3) Status
Achieving and retaining your organization’s 501(c)(3) status is essential for eligibility to receive tax-deductible contributions. A nonprofit attorney provides critical guidance on IRS rules and regulations, helping your organization stay compliant through accurate record-keeping, timely filings, and adherence to restrictions on political and lobbying activities. Your nonprofit lawyer serves as an invaluable resource for navigating IRS compliance audits or inquiries.
Fundraising and Solicitation Compliance
Fundraising is fundamental for nonprofits but can also be legally complex. Different states have varying laws about solicitation, charitable donations, and donor disclosures. Nonprofit lawyers guide organizations through these rules, helping you conduct effective fundraising campaigns without inadvertently violating state laws or regulations.
Employment Law and Volunteer Management
Nonprofits often rely on a blend of paid employees and dedicated volunteers. Nonprofit attorneys assist organizations in navigating employment laws, volunteer guidelines, and liability issues. They ensure proper classification of workers, develop appropriate policies and procedures, and help protect your organization from employment-related disputes.
Contract Review and Negotiation
Nonprofit organizations regularly enter into contracts, leases, partnerships, and collaborations. An experienced nonprofit lawyer carefully reviews, negotiates, and drafts these agreements to protect your organization’s interests and reduce risk, ensuring that all legal implications are understood and appropriately managed.
Conflict Resolution and Governance
Effective governance is crucial for nonprofit sustainability and compliance. Nonprofit attorneys provide guidance on board responsibilities, conflict-of-interest policies, and effective governance structures.