(Folks, please change the subject line when we're talking about Debian
legal structure instead of the original topic.)
tytso <
tytso@mit.edu> writes:
Until 1970, the New York Stock Exchange was the oldest unincorporated association, so there have been some very old, well understood
organizations that have operated without being a corporation. Some more not-legal-advice can be found here[1].
[1] https://charitylawyerblog.com/2021/11/22/unincorporated-nonprofit-association/
Some interesting excerpts from that page, which seem to support some of
the worries that several of us have about this structure in the United
States:
The primary disadvantage of operating as an unincorporated nonprofit
association is that, in most states, it has no separate legal
existence. Therefore, members are personally liable for the
unincorporated association’s debts and liabilities.
Further, unless there is some state law that recognizes it, an
unincorporated nonprofit association cannot purchase or hold property
or sign legally binding contracts in its own name.
Some states have adopted the Uniform Unincorporated Nonprofit
Association Act (2008) (Last Amended 2011) which recognizes
unincorporated nonprofit associations as separate legal entities and
provides some protection from liability for their members. Each state
is different, however, and those considering operating as an
unincorporated association should research the laws in their state
before beginning operations.
It looks like California has indeed adopted the Uniform Unincorporated Nonprofit Association Act, but other US states may not have. Some more information on California here:
https://communitycooplaw.wordpress.com/2016/11/01/setting-up-an-unincorporated-association-in-california-risks-and-practices/
And of course this is only US law. I have no idea what complications
there are in various relevant European jurisdictions.
Obviously in the US we *do* have SPI, which avoids many of the problems of operating as a purely unincorporated nonprofit association (such as being subject to taxes and being unable to sign contracts, since the money is
handled by SPI as a registered nonprofit corporation). But because we
maintain a separate governance existence from SPI, I'm dubious that SPI's liability sheild extends to Debian activities apart from the things that
SPI explicitly handles.
--
Russ Allbery (
rra@debian.org) <
https://www.eyrie.org/~eagle/>
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