Authority of the Board of Directors
You probably know that your organization can call itself a nonprofit because it meets the conditions of a section of the Internal Revenue Code--most likely section 501(c)(3). You may not be aware that your organization must also conform to the requirements of your state's nonprofit corporations law. Some nonprofits, such as community action agencies, also have a legislative mandate for their existence.
This one-to-three hour training familiarizes your board of directors with the statutory bases for their existence. It walks them through the legal documents that define what the organization is and how it will be governed: the Articles of Incorporation and Bylaws.
Examination of the state nonprofit corporations law will acquaint board members with the roles and responsibilities of board members. It defines conflicts of interest and how to deal with them. It may establish a minimum number of board members. It will outline specific conditions under which board members can and cannot be held liable for their decisions.