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JerrySJD, Attorney
Category: Business Law
Satisfied Customers: 821
Experience:  Attorney for business formation, business sales, tax, partnerships, sole proprietors and buy/sell agreements.
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I am the business manager for a non-profit organization. We

Resolved Question:

I am the business manager for a non-profit organization. We just selected a new member to the board but has not sworn her in yet. During this time we are selected students for our scholarship awards. One of the criterias is no family members of the board can apply. The new elected board members granddaughter is applying for one of the scholarships. The new elected board member will not be sworn in until after the closing date for the scholarship applications. Will this be a conflict of interest since the new elected board member was selected before the closing date of the scholarship applications.
Submitted: 5 years ago.
Category: Business Law
Expert:  JerrySJD replied 5 years ago.

JerrySJD :

The board member was elected. Once she is elected, she is on the board. Not sure what is meant by being sworn in, since the minutes say she is on the board. It would be much cleaner if the minutes had the grandmother elected after the award.

JerrySJD :

If there is a swearing in procedure that is in the bylaws that must be completed before someone is on the board, then you are probably ok. You have to be able to show that she is not on the board. If the swearing in is a policy or administrative procedure, that is not in the bylaws, then she looks like a board member at the time of the award.

JerrySJD :

My recommendation is that she be elected after the award.

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