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  • August 8, 2016

New Maryland Case Allows Court to Distribute Assets of Charitable Corporation

A new decision reported by the Court of Special Appeals of Maryland has given a broad definition to what is a “charitable corporation” and also an expansive reading to the power of a court to transfer the assets of a charitable corporation that is not functioning. The case is Sydnor v. Hathaway decided on July 27, 2016.  The dispute was between the Union Baptist Church in Baltimore and a charitable corporation that it created, known as the Union Baptist Development Corporation.  The Development Corporation had been formed by the Church in 1981 to hold title to property that the Church…

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