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Corporate Law Discussions

Board Membership

Postby Aberthol » Wed Jun 18, 2014 10:43 am

Hi Harvey,

Our TX based 510(c) 3 sporting club board includes the parents of some of our junior athletes. Some of these parents are not in fact members of the club. I would have taken it as read that the board of a 501(c) 3 would have to have a board composed entirely of members of the organization. I can see nothing in the bye laws to address this. Is this allowed? Richard
Aberthol
 
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Board Membership

Postby Elroy » Tue Jun 24, 2014 2:49 am

 http://law.justia.com/texas/codes/bo/002.00.000022.00.html

are the Texas Code sections for "Nonprofit Corporations".

Specifically see   § 22.203. BOARD MEMBER ELIGIBILITY REQUIREMENTS.  A director of a corporation is not required to be a resident of this state or a member of the corporation unless the certificate of formation or a bylaw of the corporation imposes that requirement.  

The certificate of formation or bylaws may prescribe other qualifications for directors.http://law.justia.com/texas/codes/bo/002.00.000022.00.html#22.203.00

Therefore, the is no state law that requires a director to be a member.

Thank you for asking.

Harvey Mechanic, Attorney at Law - [email protected]
Elroy
 
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