Louis E. Michelson, A Professional Corporation

Providing Legal and Tax Advisory Services to Nonprofit Organizations

Expanding Permissible Titles for Chair of the Board of Nonprofit Corporations

August 4th, 2015 · No Comments · California nonprofit law

Is there anything more annoying that getting a “bounced” filing from the Secretary of State? Never mind the difficulty in getting all the required signatures, including the hard-to-reach chairperson of the board.

Then the Secretary of State’s transmittal form letter tells you the document is being returned because the title on the document was “chair” rather than “chair of the board.”

Really! There may be other more colorful words that come out of your mouth at that point.

A new law has been signed by Governor Brown and will be become effective January 1, 2016 which specifically expands the permissible titles relating to a chair of a board. Nonprofit corporations (which include nonprofit public benefit, mutual benefit, religious and consumer cooperative corporations) are already authorized to use gender neutral terms for “chairman of the board.” Starting January 1, 2016 nonprofits will be authorized to use alternative titles for chair of the board to match common usage in the nonprofit community. The titles “chair,” “chairperson,” “chairman” and “chairwoman” can be used without an “of the Board” modifier.

For more information on SB 351, see the following link.

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