Our PTO disbanded 2-1/2 years ago. We had PTO bank accounts that it was my understanding would continue to earn interest but have to stay put in the bank unless and until someone showed interest in becoming a PTO again. I also thought there needed to be a minimum active members present at a meeting to decide how to use $ in that account.

I have become aware, recently, that although there have been no announcements of PTO meetings, no PTO meetings held, and no official president or secretary of PTO in existence, the school has had the former PTO president write checks from that PTO account to pay for various things, as recent as this week, never voted on by any PTO members.

Where do I go to seek legal help in this matter? Under what legal-type heading would this problem fall and/or under what heading might I find my state laws that govern it?

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Originally Posted by Snowgoose

Where do I go to seek legal help in this matter? Under what legal-type heading would this problem fall and/or under what heading might I find my state laws that govern it?

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Hello S:

If YOU are a member of this PTO, then you have standing to SUE. I would do it in small claims court. What heading?? Looks like misappropriation of funds... But, tell the judge. It doesn't matter what he calls it. It only matters if you win.

excon

Your PTO should contact your local District PTA or Council PTA who has measures in place for things like this. They will properly advise and guide you. They may even step in and take over the case for you.

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Originally Posted by Snowgoose

... Under what legal-type heading would this problem fall and/or under what heading might I find my state laws that govern it?

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It varies from state to state.

And it also depends on how your PTO was organized. If it's an unorgainzed committee of the school or school board, the funds would ultimately belong to the school district. On the other hand, if it is organized as a non-profit corporation, you would look under the corporation laws for your state. It may be organized as a chapter of a state, regional, or national PTO corporation, in which case you would have to inquire with that larger organization as to the rules that apply.

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Originally Posted by Snowgoose

... it was my understanding would continue to earn interest but have to stay put in the bank unless and until someone showed interest in becoming a PTO again...

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Actually it woulldn't quite work that way. If it was a corporation, the funds belonging to the corporation would be dispursed in a certain way, according to state corporation law, upon what probably amounted to an involuntary dissolution of the corporation. The officers of the corporation should have taken care of this, and in default of their having done so, it would have to be decided by the court.

It's like this. If someone, call him "John Doe", has funds on deposit in a bank, someone else by that name cannot come along and claim the money, simply because his name also happens to be John Doe.