INTELLIGENCER JOURNAL

Editorial “Biting the hand…”, pertaining to the Pennsylvania Academy of Music suit to collect pledges,  opines “It may well be legal to sue donors, but the wisdom of doing so is highly questionable.  Will other organizations come after people who, because they may have lost a job, could not finish their weekly or bi-weekly pledges?

More to the point, will the lawsuits undermine people’s willingness to give to non-profits for fear of being sued?”

 

WATCHDOG: Good questions.

According to West’s Encyclopedia of American Law, a pledge is “A solemn binding promise to do, give, or refrain from doing something: signed a pledge never to reveal the secret; a pledge of money to a charity.” In other words, it is not subject to withdrawal, any more than agreeing to pay a mortgage on a house or a loan on a car is conditional.

What does the donor receive in exchange?  Clearly it varies with the individual.  Some like to see their names on things.  Others demonstrate their generosity to their friends and acquaintances.   Many give anonymously, deriving psychic satisfaction that they are responsible members of a community.  Whatever their motive for giving, selfish or selfless, they do get something in return.

And what about the organization to who funds have been promised?  They make plans and commitments in reliance on pledges.  If they cannot count on the pledges being fulfilled, how can they move ahead? Furthermore, what bank would lend them money if pledges are subject to being withdrawn?

Perhaps the lesson here is that substantial pledges should be made by contract and, if the donor wishes to set certain conditions, they should be stated.

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3 Comments

  1. Why donors pledged or gave to the Academy is irrelevant, nobody’s business but the donors’.

    The Academy made promises it didn’t keep. But instead of humbly admitting mistakes, reorganizing and moving on, they point the finger of blame. And now they add legal action to the finger-pointing. Even if it’s legal, it’s foolish.

    It’s as if the Academy is working from a checklist on how to ruin their own reputation, destroy their future and anger their colleagues all at the same time.

    Even if they get the money, at this point it’s probably a short-term victory. Nobody will give to them after this. And they’ve now helped damage other nonprofits with this tomfoolery.

    Great job.

  2. IF a group like PAM has a fund drive as they did to build a building as they did and goes BANKRUPT as they did, the COURTS pursue any and all pledges that were not collected to pay whatever creditors they can.

    I believe the lesson learned here is that one should only pledge what they can afford and need to be held accountable for that pledge unless a financial situation arises and the pledge can be forgiven.

    I think the STATE owes its taxpayers an explanation as to why and how the funds became available to buy this and give it to Millersville.

  3. My husband was 36 years older than I and passed on of cancer. He was so excited that Lancaster Hospice was building a building on Good Drive and IF we needed help, it would be available one day. Well he passed on before the building was completed and I at the time of fund raising donated a complete room in memory of my husband and father.

    After all was said and done, a year after my monthly payment to the agreed amount contribution, I was unable to fulfill my pledge due to tons of medical bills and etc.

    I notified Lancaster County Hospice and told them eventually I fulfill my pledge but had to pay other bills first. Continuing to contribute yearly on their campaigns and auctions in a smaller way has been very much appreciated over the years and they WILL get the remaining pledge one way or the others as the PLAQUE hangs in the lobby and I receive not one request. If they were to take down the Plaque, I would understand but they never have and I have referred dozens of men and women to their services as well as my mother more recently…

    PAM should not only be ashamed at what they are doing, they should be dissolved, it only clouds all organizations that now have to address such unheard of actions.
    This is another example of our legal system being miss used and the attorneys that would even think of this action and take on this case should be made known. Look at the wasted dollars that are going to mount up in legal fees on both sides as well as the court system! Bravo to the gentleman who spoke up.

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