Can Church Members Demand an Accounting and Require a Church to Disclose Funds?

Full question:

Is it legal for church to keep the church funds hidden from the church members?

  • Category: Churches
  • Date:
  • State: West Virginia

Answer:

Typically, the authorized uses of church funds is governed by a document, such as a charter, and the bylaws it contains. Specific expenditures are often required to be approved by board members in a resolution that is recorded in meeting minutes. It may be possible to recover funds if they were not authorized to be spent for the matter involved.The answer will depend on whether the applicable rules and procedures were followed regarding the funds. The governing documents may require the budget to be published or made available. I suggest reading the bylaws and other governing documents carefully to determine the rights and obligations of the church in regard to disclosure of funds. The answer will depend on all the circumstances, I suggest you contact a local attorney who can review all the facts and documents involved.

Please see the following information:

http://www.churchlawtoday.com/private/library/cltr/c0588462.htm
http://www.churchlawtoday.com/private/library/cltr/c0204852.html

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

The 80% rule for churches typically refers to the guideline that at least 80% of a church's income should be used for direct ministry purposes. This ensures that a significant portion of funds supports the church's mission and outreach activities. However, specific requirements can vary based on a church's governing documents and local regulations.