How does the Illinois Attorney General regulate charities? The Illinois First District case People v. Maxwell Manor provides a rare glimpse at how the Attorney General utilizes the Illinois Charitable Trust Act (the “Act”) to enforce the public’s interest in nonprofit corporations. While the IRS is often seen as the main regulator of charities, each state’s Attorney General also plays a predominant role .
The IRS announced on May 22 that it will substantially revise substantially its proposed Section 501(c)(4) regulations regarding politically-related activities. This retrenchment follows in the wake of great consternation expressed through more than 150,000 publicly filed comments.
Upholding individuals’ free speech rights, the Illinois Supreme Court recently struck down the Illinois Eavesdropping Act as unconstitutionally overbroad. As of April, 2014, electronic recording of conversations is permissible in Illinois, subject to copyright, privacy and other important restrictions. That permissibility may be short-lived, but the lesson is clear: if Illinois legislators want to prohibit eavesdropping, they better craft a much narrower statute.
The Supreme Court’s Decisions