FOR: FSC MEMBERS AND FRIENDS
SUBJECT: Michigan and Maine — Small Regulatory Victories
DATE: July 24, 2006
1. The Michigan registration form to be used by professional fundraising counsel requires each professional fundraising counsel name an in-state agent, but the law requires that only charities do so. Professional fundraising counsel may wish to protest, or ask their registration lawyers to protest, the in-state agent requirement, which can cost up to $240 annually. There is reason to believe that such a challenge may be successful.
2. Further, Maine no longer requires posting of a bond by professional fundraising counsel. It is the first state outside the 10th Circuit to repeal their bond requirement since the ATA/Utah court decision declared such bonds unconstitutional on their face.
This time, two steps forward!