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  • 1.  Endowment name change

    Posted 01-24-2025 10:34 AM

    Hello everyone. I need some guidance regarding a recent request. First, the backstory.

    In 2006 ABC, LLC established an endowment, ABC Scholarship Endowment in memory of Jane Doe. In July 2022, ABC was acquired by XYZ.   A representative from XYZ reached out and asked if the endowment name could be changed to reflect XYZ.

    Should/can we honor this request?

    If so, would you recommend a gift agreement amendment?

    Our Foundation is requesting that the original founder of ABC, who is listed as a special advisor to XYZ, be contacted and sign the amendment.  Although the founder did not sign the original agreement, it was signed by the then COO. Do you recommend this step? 

    Thank you!



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    Sheila Smith
    James Madison University
    willi2ss@jmu.edu
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  • 2.  RE: Endowment name change

    Posted 01-24-2025 10:56 AM
    This dilemma suggests that your naming policies be amended such that JMU "reserves the right to modify the name of an endowment in the event of . . . " and fill in the blank. Regarding corporate mergers and acquisitions, it is not unusual for funds to be renamed.

    Absent that language, you should reach out to ABC's founder. But also anyone who contributed to the fund. You do not need to obtain a signed agreement, but you should inform them of the plans to change the name in writing.

    Alternatively, you could rename the fund The XYZ (formerly ABC) Scholarship Endowment.

    John

    John H. Taylor, Principal
    John H. Taylor Consulting, LLC
    2604 Sevier Street
    Durham, NC     27705

    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987