The Magical Power of Giving:

BY LAURA S. FOWLER

Lawyers and Charitable Adventures

It is because I strongly believe a law license empowers its holder to truly make a difference, I share these words with you. If we were given the gift of being smart enough to become licensed attorneys, we need to give generously to others. One of the best ways a lawyer can do this is by associating with well-run charitable associations who offer a platform to do more and give more.

Almost always, the charitable deeds I did, the charitable gifts I made, were rewarded in magical ways I never could have anticipated. Why? Because if the mission of the charity I chose was something I believed in and charitable leadership ran the charity in a responsible way, the magical benefits were inevitable. Nevertheless, my words are a cautionary tale about involvement in charitable outreach as a citizen and as a licensed attorney.

Choose Your Charity With a Pure Heart

Because charitable service is just as demanding as any other type of client representation, often requiring far more time, energy, and commitment without direct remuneration, chose charities whose missions matters to you. Say “NO” to the ones that do not inspire you, even if they are the largest or most well-respected charities operating in your community. Choosing a charity only because you think it will enhance your practice is likely to be an exercise in pure torture.

Know Your Charity and its Mission

You should not associate with any charity or nonprofit organization until you answer the following questions. Your author is often surprised to discover the leadership of the charity or nonprofit organization, the president and executive officers, cannot answer the following questions correctly:

• What is the legal name of the charity or nonprofit organization?

• What is its IRS designation and federal tax-exempt status?

• What is the state franchise, sales tax, and local ad valorem tax exempt status?

• Is it the affiliate of a state, national, international, or other larger entity?

• What do the bylaws or other organizational documents of the charitable association authorize it to do?

• Who and what have access to funds, particularly funds that are charitable donations to the organization?

There are many reasons why you should know these facts before you associate with a charitable organization, particularly one which solicits funds from individuals.

Know Your State Law Charitable Immunities, Liabilities, and Defenses

The protections afforded to charitable organizations differ dramatically from one mission and one state to another. You should carefully review what charitable immunities and defenses apply and what insurance coverage will afford the best protections to the board members, employees, and volunteers. 1

One of the most common reasons any charitable entity is sued is because of a mishap involving an automobile. A volunteer, an employee, or a board member injured someone or damaged property while operating a motor vehicle in the scope and course of the charitable association’s mission. 2

Inquire of your charitable organization who is authorized to operate a motor vehicle to perform charitable functions. Ask what insurance is carried by the charity. If the answer is “none,” ask your personal auto liability insurance policy issuer if you are covered for volunteer missions. This is a type of add-on coverage that typically does not cost anything to add.

What Will Your Role Be?

I have left the most important question for last. Whether you chose to serve as pro bono legal counsel or governing board member, or both, you should carefully explain to other board members before you perform any service, what your role is. If you do not, you place yourself in grave danger.

As pro bono legal counsel, your professional duties are the same as an attorney receiving a full fee. You should determine if the professional liability insurance your law firm or you carry covers pro bono legal advice. Some insurers expressly exclude all coverage unless you specifically declare your pro bono clients. Others require an endorsement.

If you have elected to serve as a board member, not advising as an attorney, you should take great pains to make that clear from the very beginning. The great thing about being a lawyer is that everybody thinks we are smart and more sophisticated and knowledgeable than others. Board members will turn to you even when they are smarter or more experienced than you. That can be flattering at first but can generate negative consequences. Always remember, if acting as a board member, you are just one vote.

In your every charitable adventure, I wish you the best! AL

Footnotes

1. See Tex. Civ. Prac. & Rem. Code ch. 84 (the Charitable Immunity and Liability Act of 1987) (providing statutory framework for charitable immunities and liabilities).

2. See, e.g., Nat’l Highway Traffic Safetly Admin., The Economic and Societal Impact of Motor Vehicle Crashes, 2010 (Revised), May 2015 (Revised), avail. at https:// crashstats.nhtsa.dot.gov/Api/Public/ ViewPublication/812013.

Laura Fowler has practiced actively in Austin for 43 years, managing The Fowler Law Firm PC. In 2016, Fowler founded the ‘Still Loving It Lawyers Club®’ as the 24th practice section of the Austin Bar Association, to encourage and inspire lawyers of every age to rejoice in their practice and continue lifelong service to others.