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ARTICLE · 08 JANUARY 2013

Give Generously, Keep It Legally

About a month ago, one of the school’s families that owns a popular restaurant and bar held a special fundraising event whereby 20% of the proceeds from every meal served were donated to the school.

United StatesEmployment and HR

About a month ago, one of the school's families that owns a popular restaurant and bar held a special fundraising event whereby 20% of the proceeds from every meal served were donated to the school. The school sent out email advertisements to its families, and kids put up posters around town. The event was a huge success, netting $3,000 to the school. Today, the school received a complaint from the Department of Agriculture asking for details about the event, citing a potential violation of the Solicitation of Funds statute. 

Schools and other non-profit organizations regularly hold various types of fundraising activities.  Most states have some type of fundraising or solicitation statute that governs who can solicit funds and how it must be done.  These statutes are designed to protect the public from fraud and deceptive practices.   

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