How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Business Law
Satisfied Customers: 112650
Experience:  All corporate law, including non-profits and charitable fraternal organizations.
10285032
Type Your Business Law Question Here...
Law Educator, Esq. is online now
A new question is answered every 9 seconds

can a California nonprofit public benefit corporation transfer

This answer was rated:

can a California nonprofit public benefit corporation transfer the title to it real estate to a for profit LLC for no consideration. please cite the law or ruling.
Generally, the answer to this is NO, the charitable trust of a public benefit corporation cannot transfer its assets to a for profit entity. Here is a lengthy article explaining that the Attorney General has authority over this and would have the right to stop such a transaction. See: Transfer of Assets by Public Benefit Corporation


I hope you found my answer helpful, please click on the GREEN ACCEPT button above for my answer. This is necessary for me to be paid for my work and so that I can get credit for assisting you. Your question will not close, and you will still have the opportunity to follow-up if needed. Leaving a bonus and positive feedback is not required, but doing so is certainly appreciated!

If you have additional questions, please keep in mind that I do not know what you already know or don't know, or with what you need help, unless you tell me. Please consider that I am answering the question or question that is posed in your posting based upon my reading of your post and sometimes misunderstandings can occur. If I did not answer the question you thought you were asking, please respond with the specific question you wanted answered.

Also remember, sometimes the law does not support what we want it to support, but that is not the fault of the person answering the question, so please be courteous.

There can also be a delay of an hour or more in between my answers because I may be helping other customers or taking a break.

You can always request me through my profile at http://www.justanswer.com/law/expert-paulmjd/ or beginning your question with “For PaulMJD…”

Law Educator, Esq. and 2 other Business Law Specialists are ready to help you
Customer: replied 5 years ago.
Generally, the answer to this is NO, the charitable trust of a public benefit corporation cannot transfer its assets to a for profit entity. Here is a lengthy article explaining that the Attorney General has authority over this and would have the right to stop such a transaction. what authority or law or case law can you cite that would help
I gave you a WHOLE article full of case law for you to cite and you do not need to quote me what I wrote, I am well aware of what I wrote. If you kindly click on the link above you will have names of case citations to support what I told you, which is why I went through the trouble of actually finding that article for you...because it would give you everything you need.
Law Educator, Esq. and 2 other Business Law Specialists are ready to help you
Customer: replied 5 years ago.
are there any cases that address a non profit public benefit corporation transfering its assets to a California for profit LLC for not consideration?
The article I provided specifically addresses a public benefit corporation in CA and it addresses transfer of any asset for consideration or not to a for profit corporation, it is NOT allowed. The assets of the public benefit corporation must go to the charitable purpose of the PB corporation or to another charitable purpose. Please read the article all of the way through and there is case law at the end, which is why, again, that I provided it to you. I did not spend time looking for what you were asking about just for my own benefit.
Law Educator, Esq. and 2 other Business Law Specialists are ready to help you