Resources
Surviving and Thriving in the Wake of a Data Breach
In this article, Glenn Mott speaks with Greg Walters, Associate General Counsel for Litigation for the Peace Corps, where he provides comprehensive litigation and compliance assistance to an organization with 7,000 volunteers in 65 countries. His areas of experience include federal IT compliance law including FISMA, HIPAA, the Clinger-Cohen Act and related Office of Management … Continued
High or Dry: Weed and the Workplace
By Melanie Lockwood Herman Is your nonprofit workplace a “drug-free” zone? Although nonprofit leaders are in agreement that impaired staff pose an unacceptable risk to the safety of people who serve and receive services, the legalization of medical and recreational marijuana creates a host of challenges for nonprofit employers who wish to take a stand … Continued
Cyber Liability Insurance: What You Need to Know
Risks related to data privacy and systems security are top-of-mind for risk professionals. And although insurance coverage is available for many aspects of this complex risk landscape, insurance products differ in intent, structure, and protection. Attend this webinar to learn about the key components and features of insurance policies available to protect against the “what … Continued
Technology Mishaps: Planning for IT and Communications Disasters
By Christy Grano For most of us, the word “disaster” usually brings to mind a natural disaster like a hurricane or a tsunami, but in the risk management world technology disasters immediately come to mind. An unexpected loss of data or communication can bring an entire organization to a halt if power, internet, email, or … Continued
Online Social Networks, Cyber Risk and Your Nonprofit: What You Need to Know
By Jeffrey S. Tenenbaum, Esq. and A.J. Zottola, Esq. Online social networking sites, such as the popular offerings provided by MYSPACE, FACEBOOK, TWITTER, and LINKEDIN, offer new ways for nonprofits to connect and interact with key stakeholder groups and the community at-large. An online networking site can offer opportunities and rewards due to the ease … Continued
EPLI: What You Need to Know
Employment practices liability insurance has been available to nonprofit employers for decades. EPL policies generally respond to claims alleging wrongful employment practices, such as sexual harassment and illegal discrimination. This webinar will cover the “ins” and “outs” of EPLI so you can gauge the coverage your nonprofit needs. Topics to be covered include nuances of … Continued
Nonprofit D&O: What’s New and What You Need to Know
Nonprofit Directors’ and Officers’ liability coverage (D&O”) has evolved from the early days when only a slightly customized corporate form was offered to nonprofit buyers. Today nonprofit D&O is often the first coverage purchased by start-up nonprofits and regarded as a “must-have” coverage in many nonprofit insurance portfolios. Attend this webinar to learn about how the coverage has changed … Continued
Managing Legal Risks in a Nonprofit
The American legal system is the subject of ongoing debate, countless publications, and a growing number of television dramas and situation comedies. It’s even the stuff good novels are made of. Yet the legal field is intimidating – many laypersons (non lawyers) feel that lawyers speak a different language, view the world through a lens … Continued
Regulating Conduct Outside Work Hours: Practical Strategies for Nonprofit Employers
Recent litigation against employers has established the legality of regulating out of office conduct by employees under certain circumstances. A closer look at litigation in this area reveals practical lessons for the uncertain nonprofit employer. Watch this Web Seminar if: Your nonprofit has existing rules which prohibit or require certain behavior by staff when they … Continued
Classification Conundrum
Updated: September 24, 2019 by Melanie Lockwood Herman Avoiding Potentially Costly Employee Classification Errors Across the country, many nonprofit leaders struggle with the question of whether or not they have properly classified their staff members as either “exempt” or “non-exempt” workers. The Department of Labor’s Fair Labor Standards Act (FLSA) can often be confusing, and … Continued
Fear Not: Understanding the Risk of Personal Liability
By Melanie Lockwood Herman The risk of personal criminal or civil liability on the part of individual public entity leadership members is small but difficult to quantify. And it is important to note that exercising poor judgment, relying on an expert whose advice is later determined to be faulty, or making a decision based on … Continued
Cyber Liability: Internet Killed the Radio Star
By Erin Gloeckner Remember the first music video that premiered on MTV? The Buggles’ “Video Killed the Radio Star” questioned the impact of new technology on the music industry. Technology and music videos have come a long way since then, and cyber culture continues to be both a benefit and a burden for public entities … Continued
Hitting the Tweet Spot: Managing Social Media Risk
By Emily Stumhofer and Melanie Lockwood Herman The only way to dodge social media risk these days is to abstain from posting, peeking and, with a new ruling from the National Labor Relations Board, liking! And few employers or employees are choosing abstinence these days according to a recent poll. The 2014 Pew Internet Project … Continued
Liability and the Board: What Governing Teams Need to Know
By Melanie Lockwood Herman With more than 1.5 million registered, tax-exempt organizations in the U.S., it’s likely that many times that number of Americans currently serve on nonprofit boards. Board service involves a commitment of time, attention, enthusiasm, and in many cases, a personal financial contribution. When you serve on a board you’re likely to … Continued
Data Privacy and Cyber Liability: What You Don’t Know Puts Your Mission at Risk
By Erin Gloeckner and Melanie Lockwood Herman If you were a long-time donor to a nonprofit, and just learned that your credit card details provided to the nonprofit to make a donation are now in the hands of a hacker, would you ever trust that organization again? In an article about nonprofits and sensitive data … Continued
Travel Safe: Managing the Legal Risks that Arise from International Operations
by Jefferson C. Glassie, Esq., FASAE, and partner Whiteford, Taylor & Preston, LLP Nonprofit organizations are becoming increasingly active in global activities, which are very complex because of cultural, linguistic, operational, and risk issues. Adding to the complexity are legal issues. When does United States law apply, and when does the law of the … Continued
Waivers and Young Participants
By Melanie Lockwood Herman Except in very rare instances*, a contract signed by a minor** is voidable by the minor until he or she reaches the age of majority. A “voidable” contract is legally binding on both parties unless the minor chooses to void the contract, at which time it will no longer be enforced. … Continued
What Basic Insurance Coverage Should a Nonprofit Consider?
By the Nonprofit Risk Management Center The first issue for any nonprofit seeking to purchase insurance is to find an experienced, trustworthy insurance agent or broker who understands and specializes in serving nonprofit organizations. Nonprofits are different from commercial businesses and public agencies, and are best served by an insurance professional who appreciates those differences … Continued
Employee or Independent Contractor
By the Nonprofit Risk Management Center What’s the Difference and Why Does It Matter? Misclassifying employees as “independent contractors” can get a nonprofit financial hot water with the U.S. Department of Labor, the applicable state DOL or both. If federal or state regulators determine the nonprofit has mistakenly misclassified employees as contractors, enforcement personnel may … Continued
Legal Advice
By the Nonprofit Risk Management Center When and Why You Need It From time to time, every nonprofit needs legal advice. Whether administered as a vaccine—to ward off or prevent violations of law or other missteps by the nonprofit—or as an antidote—to help the nonprofit survive harm that has already infected its operation, sage legal … Continued
Drafting a Memorandum of Understanding
By the Nonprofit Risk Management Center An effective Memorandum of Understanding (MOU) prevents misunderstandings and disputes by clarifying the expectations of the partners. The process of developing an MOU is an instructive and potentially invaluable experience in partnering. You will learn how responsive your partner will be—are your calls returned promptly? Does your partner give … Continued
Employee Handbooks: Risk Management Road Maps
By the Nonprofit Risk Management Center Creating written workplace policies and procedures that are legally up-to-date and easy to follow is as important as having adequate insurance. Policies that are clearly communicated to staff and consistently applied serve to safeguard against improvised solutions that can result in a lawsuit. Written policies are the starting point … Continued
Year-Round Tips for Sports/Recreation Programs
By the Nonprofit Risk Management Center Sample waivers, check lists and practical help with topics identified here can be found in Playing to Win, A Risk Management Guide for Nonprofit Sports and Recreation Programs. The book aims to help the program administrator and leader, whether in a sports organization or other nonprofit, determine effective, practical … Continued
Protecting Workers Who Are Victims of Domestic Violence
By Jennifer Chandler Hauge Scene: Your nonprofit. Situation: The phone rings. Your administrative assistant tells you she/he is not coming in today. This isn’t the first time this has happened. This employee has missed a few days here and there due to “illness” or “doctors visits,” but this is the first time she/he has been … Continued
Have You Renewed Your Nonprofits Corporate Status?
By Jennifer Chandler Hauge Most states require nonprofit corporations to file an annual report with the state in order to maintain the nonprofit corporation’s good standing in that state. If you fail to submit the annual report, the state is unlikely to remind you. Instead, you may discover down the road that unbeknownst to you, … Continued
How Long Should You Keep Out-dated (Expired) Insurance Policies?
By the Nonprofit Risk Management Center In the event you need to file a claim, could you quickly put your hands on all insurance policies that might cover an incident, including expired claims? Insurance policies cover events that are addressed by claims presented to the carrier at some time in the future. By the time … Continued
Employment Law Issues Continue To Pose Risks
By the Nonprofit Risk Management Center Employment practices lawsuits continue to be among the more prevalent and most draining legal actions that a nonprofit is likely to face. Discrimination claims filed with the EEOC rose 9% in 2007 — the biggest jump in close to a decade. Nearly one-third of those claims included an allegation … Continued
Financial Risk Red Flags
By Melanie Lockwood Herman The article below is excerpted from the Nonprofit Risk Management Center’s brand-new book, “Financial Risk Management: A Guide for Nonprofit Executives.” To read more about the book and order a copy for your desk or copies for your entire leadership team, click here: The finance-related risks facing nonprofits are far from … Continued
Managing Risk in Challenging Times
By the Nonprofit Risk Management Center Team In the past weeks, the financial markets have taken us on a wild ride. At the Center we’ve counseled several organizations coming to grips with the impact of this changing financial reality. As each of us braces our organizations for the anticipated, yet still unknown effects of the … Continued
Be Proactive in Times of Crisis
By the Nonprofit Risk Management Center Team The unexpected happens. Even with insightful planning and sound risk management—people are injured, fires destroy, and investments evaporate. When “stuff happens,” savvy nonprofits know that action is needed and that action has to be communicated to stakeholders. Speaking recently about the challenges posed by the economy, Rebecca Rimel, … Continued
Front-Line Risk Managers in Senior Service
By the Nonprofit Risk Management Center Individuals who regularly visit older individuals and who witness family situations, living conditions, and physical and mental changes obtain a valuable opportunity to detect serious consequences of aging before serious consequences can result. One of the most serious consequences of aging has little to do with the physical and … Continued
Doing Good or Doing Business, Or Both?
By the Nonprofit Risk Management Center Whether it’s a nonprofit acting like a for-profit, or a for-profit acting like a nonprofit, to survive in today’s environment both nonprofits and for-profits are borrowing ideas from each other. For-profits are eager to appear “mission based” to consumers who may be more likely to purchase products that claim … Continued
The Essence of Youth Protection: Rules, Reporting and Consequences
By John C. Patterson Organizations are obsessed with ferreting out sexual predators and preventing them access to young people. Unfortunately, in their zeal to do this, organizations focus too much on the sexual predator, and not enough on the safety of the children they want to protect. Nearly every organization that offers services to children … Continued
The Culture of Reflection: Lessons Learned from Recent Headlines
By the Nonprofit Risk Management Center Team While it’s human nature to want to look away or think “this couldn’t happen to me” when you witness or read about another nonprofit’s misfortune, dedicated leaders should commit to adopting a “culture of reflection” that embraces the lessons in unfortunate events. At the Center we’ve been asked … Continued
The Taxman Cometh
By the Nonprofit Risk Management Center Team What’s on the agenda for the IRS this year? Lois Lerner, the Director of Exempt Organizations, Internal Revenue Service, addressed a gathering of lawyers and accountants in Washington, D.C. last week to share how the IRS views the impact of the economy on the charitable sector and how … Continued
Contractor or Employee? Time to Get it Right
By Melanie Lockwood Herman It’s nice to know that you’ve answered correctly, particularly on matters over which the Internal Revenue Service has authority. But when it comes to classifying workers as either employees or independent contractors, many nonprofit leaders select the more convenient option. Instead of holding your breath and hoping that the IRS will … Continued
People Who Need People: Are you feeling lucky?
By Melanie Lockwood Herman Nonprofit management experts often direct “nonprofits” to take specific steps to improve their governance, internal operations, strategic planning and fundraising activities. But as we well know, the “nonprofit” itself is incapable of “doing” anything—it’s the people behind the desks, on the other end of the phone, and seated around the board … Continued
Conquer Your Fear with Familiarity
By Melanie Lockwood Herman I’ve often remarked that, in the absence of fear, few nonprofit leaders would look to the Nonprofit Risk Management Center for advice and assistance. Fear motivates leaders to attend risk management workshops, purchase online tools, and read the books and guides we publish. Yes, fear can be a good thing, but … Continued
Reality Check: The Myth of Multitasking and Debunking The Blame Game
By Melanie Lockwood Herman Feedback from a reader of the NRMC’s eNews reminded me of one theme in one of the most thought-provoking “books” currently residing on my electronic reading device. The book, by Joseph T. Hallinan is titled: Why We Make Mistakes: How We Look Without Seeing, Forget Things in Seconds, and Are All … Continued
Conquering the Fear of Scrutiny
By Melanie Lockwood Herman I Would Prefer That You Not Look To err is human. And to fear scrutiny of our shortcomings is human nature. Although the popularity of reality TV shows suggests otherwise, most people value their privacy and would prefer to keep television cameras out of their homes. It should not be surprising … Continued
People Who Need People
A SOURCE for Tools, Advice, and Training to control risks… so you can Focus on your Nonprofit’s mission. June 29, 2011 People Who Need People By Melanie Lockwood Herman Without people the mission of your nonprofit is all promise and no action. As a result, you’re probably well aware of the importance of effective … Continued
Baby, It’s Hot Outside
By Melanie Lockwood Herman Eight long months ago, in an article titled “Baby, It’s Cold Outside,” I wrote about how increasingly cold temperatures prompted me to reflect on the idea that thoughtful planning and goal setting go “hand in glove” with effective risk management. Now that the temperatures in the Mid-Atlantic are hovering uncomfortably close … Continued
No Surprises in Volunteer Management
By Erin Gloeckner Volunteers are at the heart of most nonprofits, but your nonprofit’s heart may beat a dangerous rhythm without volunteer risk management. Every nonprofit with volunteers is at risk of experiencing these surprises: The risk of a volunteer abusing a client The risk of a volunteer’s actions harming the nonprofit’s reputation The risk … Continued
Guns in the Workplace: Protect Your Mission
By Melanie Lockwood Herman Last week a RISK eNews reader wrote to inquire about the intersection of “conceal and carry” laws and the desire of a nonprofit to provide a violence and weapon-free workplace. All 50 states, but not the District of Columbia, have adopted laws that generally permit individuals to carry loaded and concealed … Continued
Liability Trends for Nonprofit Organizations
by Eric Schall Employees. Former employees. Donors. Grantors. Third parties. Fellow board members. You probably don’t like to think of them as liability risks to your nonprofit organization, yet all of them can make your nonprofit the target of a lawsuit. Such lawsuits can easily cost a nonprofit organization hundreds of thousands of dollars, not … Continued
Myths of Volunteer Risk Management, Part 3
by Hal Denton and Fiona Lally This is the third in a series of articles concerning myths about volunteer liability. This installment covers the concept of agency as it relates to volunteer activities and how an organization should address its potential liability for the actions of its volunteers. Myth 3 Organizations can’t completely control what … Continued
Myths of Volunteer Risk Management, Part 2
by Hal Denton and Fiona Lally This is the second of a series on common myths associated with the risks of using volunteers in nonprofit organizations. We’ll look at each myth for its impact on liability assessment, the purchase of insurance, and risk management planning. Myth #2 Risk management for volunteers is primarily a question … Continued
Private, Keep Out!
Private, Keep Out! Meeting Your Clients’ Expectations of Privacy Online by Dennis M. Kirschbaum, ARM I would not call myself a runner. Yes, I do jog for exercise a few times a week, but to me a runner is someone who competes in races, wears a number, and has the special shorts and shirts purchased … Continued
Tell Me About It: Communicating With Key Constituencies During a Lawsuit
The article below is excerpted from a new publication available from the Nonprofit Risk Management Center, The Best Defense: 10 Steps to Surviving a Lawsuit. The article addresses the topic covered in Step 6: Communicate with Constituencies. Receiving notice of a lawsuit can be terribly upsetting. Your first inclination may be to start talking with … Continued
Increasing Your Liability Protection
Increasing Your Liability Protection Excess vs. umbrella limits By George L. Head, Ph.D. Special Advisor, Nonprofit Risk Management Center
Who Can Sue a Nonprofit Board?
One of the myths associated with nonprofit D&O exposures is that there are few sources of claims since nonprofits don’t have shareholders. While it is true that the vast majority of lawsuits filed against nonprofit boards are filed by current and former employees (alleging wrongful employment practices), nonprofits serve large and varied constituencies to which … Continued