FundSvcs Community

I've dealt with many of these and upon the advice of counsel have determined the payments not to be voluntary and therefore not considered a gift in the eyes of the IRS. These are court-ordered payments used without any charitable intent on the part of the company. There would be exceptions, however, especially if the now bankrupt company had an outstanding commitment to your organizations. There are also instances where state law requires escheated funds to the state from a legal proceeding are distributed to nonprofit organizations. But those are state assets and not private contributions and therefore cannot be counted per CASE (if following CASE/VSE guidelines). John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Jun 13, 2019 at 11:25 AM Yelena Natanson <natansoy@mskcc.org> wrote: > Good Morning All, > > > > Has anyone come across a donation (the check’s memo lists it as such) cut > through a bankruptcy settlement that a law firm handled for a now defunct > company? My inclination is to credit and receipt the defunct company. > > > > Does anyone have guidance or experience with something like this? > > > > Thank you, > > Yelena > > > > *Yelena Natanson* > > Manager, Gift Administration > > Gift Administration & Donor Services > *Memorial Sloan Kettering Cancer Center* > > *Please consider the environment before printing this page or its > attachments.* > > > > ===================================================================== > > Please note that this e-mail and any files transmitted from > Memorial Sloan Kettering Cancer Center may be privileged, confidential, > and protected from disclosure under applicable law. If the reader of > this message is not the intended recipient, or an employee or agent > responsible for delivering this message to the intended recipient, > you are hereby notified that any reading, dissemination, distribution, > copying, or other use of this communication or any of its attachments > is strictly prohibited. If you have received this communication in > error, please notify the sender immediately by replying to this message > and deleting this message, any attachments, and all copies and backups > from your computer. >

Good Morning All, Has anyone come across a donation (the check's memo lists it as such) cut through a bankruptcy settlement that a law firm handled for a now defunct company? My inclination is to credit and receipt the defunct company. Does anyone have guidance or experience with something like this? Thank you, Yelena Yelena Natanson Manager, Gift Administration Gift Administration & Donor Services Memorial Sloan Kettering Cancer Center Please consider the environment before printing this page or its attachments. ===================================================================== Please note that this e-mail and any files transmitted from Memorial Sloan Kettering Cancer Center may be privileged, confidential, and protected from disclosure under applicable law. If the reader of this message is not the intended recipient, or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that any reading, dissemination, distribution, copying, or other use of this communication or any of its attachments is strictly prohibited. If you have received this communication in error, please notify the sender immediately by replying to this message and deleting this message, any attachments, and all copies and backups from your computer.

Hi John, Thank you! Very helpful information. Yelena From: Advancement Services Discussion List <FUNDSVCS@LISTSERV.FUNDSVCS.ORG> On Behalf Of John Taylor Sent: Thursday, June 13, 2019 11:35 AM To: FUNDSVCS@LISTSERV.FUNDSVCS.ORG Subject: [EXTERNAL] Re: [FUNDSVCS] Check from a Bankruptcy Settlement of a Company I've dealt with many of these and upon the advice of counsel have determined the payments not to be voluntary and therefore not considered a gift in the eyes of the IRS. These are court-ordered payments used without any charitable intent on the part of the company. There would be exceptions, however, especially if the now bankrupt company had an outstanding commitment to your organizations. There are also instances where state law requires escheated funds to the state from a legal proceeding are distributed to nonprofit organizations. But those are state assets and not private contributions and therefore cannot be counted per CASE (if following CASE/VSE guidelines). John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com<mailto:johntaylorconsulting@gmail.com> 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Jun 13, 2019 at 11:25 AM Yelena Natanson <natansoy@mskcc.org<mailto:natansoy@mskcc.org>> wrote: Good Morning All, Has anyone come across a donation (the check’s memo lists it as such) cut through a bankruptcy settlement that a law firm handled for a now defunct company? My inclination is to credit and receipt the defunct company. Does anyone have guidance or experience with something like this? Thank you, Yelena Yelena Natanson Manager, Gift Administration Gift Administration & Donor Services Memorial Sloan Kettering Cancer Center Please consider the environment before printing this page or its attachments. ===================================================================== Please note that this e-mail and any files transmitted from Memorial Sloan Kettering Cancer Center may be privileged, confidential, and protected from disclosure under applicable law. If the reader of this message is not the intended recipient, or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that any reading, dissemination, distribution, copying, or other use of this communication or any of its attachments is strictly prohibited. If you have received this communication in error, please notify the sender immediately by replying to this message and deleting this message, any attachments, and all copies and backups from your computer. ===================================================================== Please note that this e-mail and any files transmitted from Memorial Sloan Kettering Cancer Center may be privileged, confidential, and protected from disclosure under applicable law. If the reader of this message is not the intended recipient, or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that any reading, dissemination, distribution, copying, or other use of this communication or any of its attachments is strictly prohibited. If you have received this communication in error, please notify the sender immediately by replying to this message and deleting this message, any attachments, and all copies and backups from your computer.