Legal Question in Business Law in California
can a volunteer at a religious non profit org. be sued? How can they clear themselves of fraudulent charges?
3 Answers from Attorneys
Anybody can sue anybody for anything. Winning is a different question.
"Clear" would mean defending, fighting the charges, and 'winning', whether criminal or civil suit. That will depend upon all the evidence and facts.
If you are sued for your actions as a volunteer, the organization should probably provide your legal defense to that suit. Discuss it with them.
If criminal charges are brought against you, then even if you 'win', meaning not convicted, there is essentially no way for you to sue 'them' for doing that, even though the prosecutor loses the case against you.
If a civil suit against you were proven to actually be without supporting grounds of any kind, then a counter suit for 'malicious prosecution' or 'abuse of process' could be brought. That is the risk to suing someone without evidence to prove it. IF you win against the charges, and IF the person you want to sue actually has any assets or income to recover against IF you were to get a judgment against them, then you can consider the grounds and economic viability of a counter suit. If you are serious about hiring counsel for defense, or to file counter suit, feel free to contact me to discuss.
Yes. See Corporations Code section 5004. More than a century ago, religious and charitable organizations were exempt or partially exempt from suit. This immunity was largely lost during the 20th Century. See, for example, the California Supreme Court decision in Malloy v. Fong (1951) 37 Cal.2d 356. There are still some scattered statutory exemptions in the Corporations Code for directors and officers who serve nonprofits without pay, see for example Corps. Code section 9247. However, the organization itself is subject to suit.
If sued, the religious nonprofit organization must defend in the usual manner by responding to the suit with an Answer or other acceptable pleading (Demurrer, etc.).
Failure to defend will likely result in a default judgment against the defendant(s).
Even if you qualifed under an exception, as listed by Mr. Whipple -which it appears that you do not - you would still have to defend yourself against the lawsuit. The court does not screen complaints, and will not rule on a complaint until an issue is brought to the court's attention by way of motion or demurrer.
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