This part sets limits on the group. It may not sell shares or pay out gains. It may not take part in politics. It may not lend money to its own people. It may not say that Congress backs what it does. It may pay fair wages and pay back costs.
The document says “may not”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(a) Stock and Dividends.--The corporation may not issue stock or declare or pay a dividend.”
The section amends section 70507 of title 36, United States Code, to read as quoted across this record. The first subsection bars the corporation from issuing stock and from declaring or paying a dividend.
What the document actually says
“``(a) Stock and Dividends.--The corporation may not issue stock or declare or pay a dividend.”
That sentence, in plain words
The group may not sell shares in itself. It also may not pay out gains to anyone.
What this is about
A share is a slice of a firm that people buy. A gain is cash paid out to those who hold shares. This group is not that kind of firm.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(1) In general.--The activities, funds, income, and property of the corporation may not be used to carry on political activity or attempt to influence legislation.”
In the political activities subsection written into section 70507 of title 36, United States Code, the activities, funds, income and property of the corporation may not be used to carry on political activity, and may not be used to attempt to influence legislation.
What the document actually says
“``(1) In general.--The activities, funds, income, and property of the corporation may not be used to carry on political activity or attempt to influence legislation.”
That sentence, in plain words
The group may not take part in politics. That covers what it does, its money, and the things it owns. It also may not try to sway new law.
What this is about
To sway new law is to push Congress to vote one way. Groups like this one are barred from that.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not”Who acts: Foundation of the Federal Bar Association, directors of the corporation, officers of the corporationHow: statuteSec. 5 in the PDF
What the document says
“``(2) No contribution, support, or participation.--The corporation or a director or officer in the corporate capacity of the director of officer may not contribute to, support, or participate in any political activity or in any manner attempt to influence legislation.”
The second paragraph of the political activities subsection bars the corporation, and a director or officer acting in a corporate capacity, from contributing to, supporting or participating in any political activity, and from attempting in any manner to influence legislation. The phrase 'the director of officer' is reproduced as printed in the enrolled law.
What the document actually says
“``(2) No contribution, support, or participation.--The corporation or a director or officer in the corporate capacity of the director of officer may not contribute to, support, or participate in any political activity or in any manner attempt to influence legislation.”
That sentence, in plain words
No one at the group may take part in politics for it. That means the group, its board, and its officers. They may not give cash to a cause. They may not try to sway new law.
What this is about
This rule is about acts done for the group. It does not speak to what a person does on their own time.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(1) In general.--The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member during the life of the charter granted by this chapter.”
The income or assets of the corporation may not inure to the benefit of a director, officer or member, and may not be distributed to one, during the life of the charter granted by the chapter of title 36, United States Code, in which this section sits.
What the document actually says
“``(1) In general.--The income or assets of the corporation may not inure to the benefit of, or be distributed to, a director, officer, or member during the life of the charter granted by this chapter.”
That sentence, in plain words
The group's cash and things may not go to its own people. Not to a board member. Not to an officer. Not to a member of the group.
What this is about
This holds for as long as the charter lasts. A charter is the grant that set the group up. It came from Congress.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “can”Who acts: board of directors of the Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“This subsection does not prevent the payment, in amounts approved by the board of directors, of-- ``(A) reasonable compensation; or ``(B) reimbursement for expenses incurred in undertaking the corporation's business, to officers, directors, or members.”
The same paragraph states two payments the bar on distributions does not prevent: reasonable compensation, and reimbursement for expenses incurred in undertaking the corporation's business, to officers, directors or members. Both are in amounts approved by the board of directors.
What the document actually says
“This subsection does not prevent the payment, in amounts approved by the board of directors, of-- ``(A) reasonable compensation; or ``(B) reimbursement for expenses incurred in undertaking the corporation's business, to officers, directors, or members.”
That sentence, in plain words
The group can still pay fair wages. It can also pay back costs. Costs mean cash a person put in for the group's work. The board must say yes to the sums.
What this is about
So the bar on pay outs is not a bar on wages. Work for the group can be paid for.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not be construed”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(2) Rule of construction.--This subsection shall not be construed to-- ``(A) prevent the award of a grant to a Federal Bar Association chapter of which an officer, director, or member may be a member; or ``(B) prevent the payment of reasonable compensation to the corporation's employees for services undertaken on behalf of the corporation.”
A rule of construction in the same subsection states that it shall not be construed to prevent two things: the award of a grant to a Federal Bar Association chapter of which an officer, director or member may be a member, and the payment of reasonable compensation to the corporation's employees for services undertaken on behalf of the corporation.
What the document actually says
“``(2) Rule of construction.--This subsection shall not be construed to-- ``(A) prevent the award of a grant to a Federal Bar Association chapter of which an officer, director, or member may be a member; or ``(B) prevent the payment of reasonable compensation to the corporation's employees for services undertaken on behalf of the corporation.”
That sentence, in plain words
The rule must not be read too wide. The group can still give a grant to a local branch. That holds even if one of its own people is in that branch. It can also pay its staff fair wages.
What this is about
A branch here is a local unit of the bar group. A grant is cash given for a use.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(d) Loans.--The corporation may not make a loan to a director, officer, member, or employee.”
The loans subsection written into section 70507 of title 36, United States Code, bars the corporation from making a loan to a director, officer, member or employee. It states no exception.
What the document actually says
“``(d) Loans.--The corporation may not make a loan to a director, officer, member, or employee.”
That sentence, in plain words
The group may not lend money to its own people. Not to a board member, an officer, a member, or a worker.
What this is about
A loan is cash lent that must be paid back. This rule bars all such loans.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “is amended”Who acts: CongressHow: statuteSec. 5 in the PDF
What the document says
“``(e) Immunity From Liability.--Members and private individuals are not liable for the obligations of the corporation.”
The immunity subsection written into section 70507 of title 36, United States Code, states that members and private individuals are not liable for the obligations of the corporation.
What the document actually says
“``(e) Immunity From Liability.--Members and private individuals are not liable for the obligations of the corporation.”
That sentence, in plain words
The group's debts are its own. A member does not have to pay them. Nor does any other private person.
What this is about
This is what a charter of this kind does. It keeps the debts with the group.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “may not”Who acts: Foundation of the Federal Bar AssociationHow: statuteSec. 5 in the PDF
What the document says
“``(f) Claim of Governmental Approval or Authority.--The corporation-- ``(1) may not claim congressional approval or the authority of the United States Government for any of its activities; and ``(2) may acknowledge this charter.''”
The last subsection written into section 70507 of title 36, United States Code, bars the corporation from claiming congressional approval, or the authority of the United States Government, for any of its activities. The same subsection states that it may acknowledge the charter.
What the document actually says
“``(f) Claim of Governmental Approval or Authority.--The corporation-- ``(1) may not claim congressional approval or the authority of the United States Government for any of its activities; and ``(2) may acknowledge this charter.''”
That sentence, in plain words
The group may not say Congress backs what it does. It may not claim the United States backs it. But it can say that it has this charter.
What this is about
A charter from Congress is not a stamp of approval. This rule spells that out.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Each restriction the Act writes into section 70507 of title 36, United States Code: stock and dividends, the two political activity paragraphs, the bar on income or assets going to insiders, the payments that bar does not prevent, the rule of construction, loans, immunity from liability, and the bar on claiming governmental approval.
Nothing in the section is left out. The section rewrites one section of title 36 and every subsection of the new text is recorded.
The section replaces section 70507 of title 36, United States Code, and that older statute is not indexed here, so nothing is recorded about the wording it replaces. The Federal Bar Association and its chapters are named but not defined by this Act, and the corporation's bylaws and charter are not indexed here.
