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A merger agreement outlines a situation where two separate nonprofit entities want to join forces and share resources, assets, liabilities and sometimes employees. A nonprofit organization might choose to merge with another nonprofit for many reasons. Our legal team will work out how the organizations will work together in the process and what the resulting merger will look like.
Contact Daryl Reese Law Group to schedule a consultation with a lawyer today. 707-858-5000
Sometimes, nonprofit organizations determine that instead of merging, dissolving the entity is the right thing to do. Dissolutions require a lot of legal work to ensure the dissolving organization has met the legal requirements set forth by the California Attorney General, the Secretary of State, and the Franchise Tax Board. Dissolving organizations must get approval from the Attorney General for the distribution of their remaining assets, which requires selecting other qualified nonprofit entities to receive those assets.
It can be difficult to contemplate merging your organization with another or choosing to dissolve, especially since there are so many factors at play. It’s not as simple as just saying yes or no. There are many legalities and intricacies involved that often make it an overwhelming decision. This is why consulting with an experienced attorney is highly recommended. Our team of nonprofit law experts will assist you in each step of the process from decision making and research, to implementing the merger or dissolution process.
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Disclaimer: The information on this website is for general information purposes only. Nothing on this site should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute an attorney-client relationship.
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