Legal Question in Business Law in Alabama

association negotiation

A small 501c3 company is approached by a larger 501c6 company to incorporate the smaller 501c3 company. The 501c6 has requested a meeting to discuss future incorporation of both associations. The attorney for the 501c3 asked that the 501c3 board not to say a word during the meeting in which the discussion will take place regarding the incorporation. The attorney would rather let the 501c6 company do all the talking while the 501c3 stayed quiet, and then the 501c6 could mail a letter to the 501c3 attorney explaining their intentions. This meeting is to discuss the situation. In my opinion, the 501c3 board should have the right to ask questions and discuss the situation instead of merely sitting by and not saying a word, as the 501c3 attorney suggested. The board has a question as to whom the 501c3 attorney's loyalties lie. Is it proper for the 501c3 board to go against the wishes of the 501c3 executive director and attorney by asking questions and discussing the issues? Or should the 501c3 board sit back, not say a word, and wait for a letter to the 501c3 attorney? Seems that a meeting should be a dialogue and not a monologue. these are national associations.

thanks

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