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View Full Version : 501c3 Booster club Issue


ddechant
Jan 20, 2012, 02:54 PM
On a recent trip out of town the hotel had issues and put 16 of the members of the Booster club which is a 501c3 into another hotel. The hotel compensated those 16 by paying for one night at the other hotel. However the booster club was supposed to pay one night for all members. The booster club got their money back for the 16 members that did not stay at the original hotel. The booster club states that since the members did not pay for the one night because the hotel paid. They they are not responsible for paying for one night at the hotal. Now at just about every meeting I keep hearing that no member can be excluded from a benefit, if one member get the benefit all member get the same benefit. Is the booster club responsible for paying the 16 members that had to relocate to another hotel the hotel charges for one night.

ebaines
Jan 20, 2012, 03:18 PM
There is no law that says that the club has to do anything. They can argue that the cost of the one night's stay was $0, so that's all they need to pay. However, in fairness I would argue that whether the should pay as a point of fairness depends on the circumstance: if the event that the members were attending required only one night stay, then no - the club should not reimburse for something that cost the 16 people nothing. But if the event required 2 or more nights, then the club should reimburse for one of those additional nights.