Opinion ID: 2505697
Heading Depth: 1
Heading Rank: 17

Heading: Corporate Status of CCS

Text: The majority opinion also ignores the separate existence of CCS as an active nonprofit corporation distinct from the National Church, and the majority erroneously bases today's opinion on actions taken by the Bishop of the National Church after CCS disaffiliated from the National Church to control the internal corporate affairs of CCS. Recall that the initial deeds in this case were to CCS's corporation with official name, The Rector, Church Wardens and Vestrymen of Christ Church in Savannah. The records of the Secretary of State establish that The Rector, Church Wardens and Vestrymen of Christ Church in Savannah remains an active nonprofit corporation today that was first incorporated in December 1789. Crucially, however, when CCS disaffiliated from the National Church in 2007, CCS dissociated as a member church. Thereafter, CCS had no legal ties to the National Church, and the National Church had no legal ties to CCS. The majority identifies no evidence in the record suggesting that CCS as an active corporation delegated any of its authority to the National Church to declare a vacancy in the offices of church wardens and vestrymen (CCS's board of directors), or delegated to the Bishop, who represented the National Church's interests, the authority to declare said vacancies and to unilaterally fill these vacancies. Yet, after CCS disaffiliated with the National Church, and without any ostensible authority to do so, the Bishop took control of this active corporation, over which he had no legal authority, and did exactly that. By what authority could the Bishop dismiss the rector, wardens and vestrymen from the corporation by this name after CCS disaffiliated with the National Church? In my view, when CCS disaffiliated with the National Church, any corporate control or authority that the Bishop may have had over CCS effectively disappeared. That is, the Bishop had no cognizable legal authority to declare the existing offices in an active corporation vacant and unilaterally fill those vacancies. My conclusion is bolstered by the language of the Dennis Canon itself, which establishes that the Dennis Canon does not apply until a local church disaffiliates from the National Church. As a result, when the Bishop declared the existing offices of the active corporation CCS vacant and proceeded to fill those vacancies, this evidences the fact that consistent with the Dennis Canon, the National Church acknowledged that CCS had disaffiliated from the National Church but that the National Church nevertheless asserted control over the internal corporate affairs of CCS through the Bishop's actions, despite having no cognizable legal authority to do so. As a result, the Bishop's conduct may be entirely ultra vires, and therefore, unlawful under the Georgia Nonprofit Corporation Code, OCGA § 14-3-101 et seq. It appears from the record that the Bishop performed these acts without any legal authority to do so after CCS terminated its relationship with the National Church. See generally OCGA § 14-3-302 (explaining that all nonprofit corporations have the same powers as an individual to do all things necessary or convenient to carry out its business and affairs, including without limitation power:. . . (3) To make and amend bylaws, not inconsistent with its articles of incorporation or with the laws of this state, for regulating and managing the affairs of the corporation;. . . (10) To conduct its activities, locate offices, and exercise the powers granted by this chapter within or without this state; (11) To elect or appoint directors, officers, delegates, employees, and agents of the corporation, define their duties, fix their compensation, and lend them money and credit; . . . (16) To establish conditions for admission of members, admit members, and issue memberships; (17) To carry on a business; and (18) To do all things necessary or convenient, not inconsistent with law, to further the activities and affairs of the corporation.). Notably, the majority opinion fails to identify any legal authority for the Bishop to control the internal corporate affairs of CCS, which remained an active nonprofit corporation. The majority's willingness to endorse the actions taken by the Bishop, after CCS disaffiliated from the National Church, to control the internal affairs of CCS, is perplexing in light of the fact that the Bishop's actions appear to violate the plain language of OCGA § 14-3-302. In my view, it is confounding that neither the National Church nor the majority opinion endeavor to identify any Georgia law that gives the Bishop power to control the internal corporate affairs of CCS after CCS disaffiliated from the National Church. Further, any argument by the majority that the Bishop had the right to act to control CCS's internal corporate affairs because there is case law holding that courts will not interfere with the internal workings of church organizations is inherently flawed. The doctrine set forth in that case law has no application to cases where, as here, the active corporation involved is no longer part of the broader church organization. The application of that doctrine would apply only to hold that the National Church has no power to interfere with CCS's internal corporate affairs, and this Court cannot interfere with CCS's statutory right to control its own affairs. See OCGA § 14-3-302. Despite the majority's baffling views to the contrary, CCS has the right to control its own affairs free from the Court's intervention and free from the National Church's intervention through the Bishop.