Announcement: Another favorable court ruling regarding Napa County lawsuit

by AndersonsInfo 114 Replies latest watchtower child-abuse

  • IT Support
    IT Support

    As an aside, referring to the Court's ruling on Watchtower's Motion To Quash Service of Summons, Jourles wrote:

    The KHAA is an insurance program designed to help cover substantial losses to KH's. Although this program is termed "voluntary," ALL California KH's use this program. The congregations are sent invoices to pay their "contributions." The court characterized the collection of this money "as insurance premiums, regardless of how they are labeled by the defendant."

    This got me wondering whether, irrespective of whether or not Watchtower decides to appeal the Court's Denial of Writ, the above ruling will be transmitted to the IRS and result in Watchtower's losing their charity status, as they are clearly engaging in the business of property insurance?

    If not, can someone here pass this information on to them?

  • silentWatcher
    silentWatcher

    I honestly cannot see the WTS taking this any higher up(Supreme Courts).

    ----------------------------------------------------

    I disagree. They cannot let this stand. The Swaggart ruling was kids stuff compared to this, and all that did was destroy a pillar in their century old business model (book sales). This is carving the heart out of the second (real estate).

    They are sitting on a keg of culpable dynamite (blood, child abuse), and their firewall was breeched in ONE ruling.

    Judah Ben and the rest of the crack WT legal team just s--t a brick.

    smile.

    -silent

  • Elsewhere
    Elsewhere
    Judah Ben and the rest of the crack WT legal team just s--t a brick.

    Looks like the Watchtower Society has a new business venture!

    Hello, I'm one of Jehover's Witnesses and I am going door to door in your neighborhood offering bricks.... Do you believe that Jehover alone can offer true Peace and Security or does one need to build using BRICKS to attain true Peace and Security?

  • Dogpatch
    Dogpatch

    Excellent information! Thanks Barb, and all the rest of you for your fine comments. It's taken a while for something like this to materialize, but it will definitely be worth the outcome!

    Randy

    Net Soup!

    http://www.freeminds.org

  • sammielee24
    sammielee24
    This got me wondering whether, irrespective of whether or not Watchtower decides to appeal the Court's Denial of Writ, the above ruling will be transmitted to the IRS and result in Watchtower's losing their charity status, as they are clearly engaging in the business of property insurance?

    If not, can someone here pass this information on to them?

    Plus the Society loans out money to the congregations at about 6% interest to build their halls....sounds like business to me! Hmmmm..let's figure the taxes - how much per magazine would it be and how far back might the IRS want to go? This might also affect their bottom line with the buying and selling of real estate and capital gains..if they are a charitable organization and exempt from taxes are they also eligible for reduced capital gains? I'm not sure of the US laws around this but if they were entitled under charitable organization to reduced, delayed or zero taxes on real estate and the IRS went back and tallied up what's owing, it could be enough to sink them. swife.

  • AndersonsInfo
    AndersonsInfo

    Jourles, you asked; "For Kimberly -- Is only the WT of PA listed in this suit? What would happen if the WT of PA filed for bankruptcy? Are the other WT corporations still culpable for WT of PA?"
    I'm not Kimberlee, but I'll try to answer your questions.
    The first question, "Is only the WT of PA listed in this suit?" No, the WT of PA is not the only defendant listed in this suit, if by suit you mean the CHARISSA W. and NICOLE D suit? This is the "so-called lead case" in a number of lawsuits from different CA counties which were coordinated and now pending in Napa County. I have a copy of the CHARISSA Complaint and this is how it reads:
    CHARISSA W. and NICOLE D.,
    Plaintiffs,
    vs.
    WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, INC., WATCH TOWER BIBLE AND TRACT SOCIETY OF PENNSYLVANIA, WATCHTOWER ENTERPRISES, L.L.C., WATCHTOWER FOUNDATION, INC., WATCHTOWER ASSOCIATES, LTD., KINGDOM SUPPORT SERVICES, INC., CHRISTIAN CONGREGATION OF JEHOVAH'S WITNESSES, RELIGIOUS ORDER OF JEHOVAH'S WITNESSES, NAPA KINGDOM HALL now doing business as NAPA CONGREGATION OF JEHOVAH'S WITNESSES - JEHOVAH'S WITNESSES OAK KNOLL CONGREGATION and JEHOVAH'S WITNESSES SILVERADO CONGREGATION, and DOES 1 through 20, inclusive.
    Defendants.
    -----------------------------------------------------------------------
    In the CHARISSA W case, on the cover sheet of RULING ON SUBMITTED MOTION TO COMPEL PRODUCTION OF DOCUMENTS which GRANTED Plaintiff's motion to compel production of documents, the plaintiffs and defendants are listed this way:
    CHARISSA W., et al.,
    Plaintiffs,
    v.
    WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, et al.
    Defendants
    Black's Law Dictionary explains "et al." thusly: "Where the words "et al." are used in a judgment against defendants, the quoted words INCLUDE ALL DEFENDANTS.
    -----------------------------------------------------------------------------
    Your second question: "What would happen if the WT of PA filed for bankruptcy? Are the other WT corporations still culpable for WT of PA?"
    Yes, because all of them are listed as Defendants. In addition, I have a copy of the original Watch Tower of Pennsylvania Charter (1884) and a copy of the paperwork each time the charter was amended. This material will shed some light upon the situation if WT of PA goes bankrupt.
    In November of 1994, Watch Tower of PA filed papers to amend its articles. The pertinent new article that will answer your question is Article XI:
    In the event of the dissolution of this corporation, the assets thereof shall not inure to the benefit of any individual, whether director, officer or member of this corporation, but upon any such dissolution, the assets of this corporation shall only be transferred to WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, INC., a nonprofit corporation, organized and operated exclusively for religious and charitable purposes and which has established its tax-exempt status under Section 501 (c)(3) of the Internal Revenue Code. If WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, INC., is not then in existence and exempt under Section 501 (c)(3), then said assets shall be distributed by the Governing Body of Jehovah's Witnesses to another organization which is organized and operated exclusively for religious purposes and which has established its tax-exempt status under Section 501 (c)(3) of the Internal Revenue Code. In any event, the assets of this corporation are irrevocably dedicated to its stated religious purposes. No part of its net income will inure to the benefit of any member, director or officer of the corporation or any private individual; it will not, as a substantial part of its activities, attempt to influence legislation; it will not participate to any extent in a political campaign for or against any candidate for public office.
    In 1999, the Watch Tower of PA Charter was again amended. The above Article XI became the NINTH Article which reads:
    Upon winding up and dissolution of the corporation, after paying or adequately providing for the debts and obligations of the corporation, the remaining assets shall be transferred to the Watchtower Bible and Tract Society of New York, Inc. If the Watchtower Bible and Tract Society of New York, Inc., is not then in existence and a corporation exempt from federal income tax under section 505 (c)(3) of the Internal Revenue Code of 1986 or the corresponding section of any future federal tax code, then the remaining assets shall be distributed to any organization designated by the Governing Body of Jehovah's Witnesses that is organized and operated exclusively for religious, educational, and/or charitable purposes and is a corporation exempt from federal income tax under section 501 (c)(3) of the Internal Revenue Code of 1986 or the corresponding section of any future federal tax code.
    RESOLVED, that Articles Tenth and Eleventh of the Amended and Restated Charter be repealed in their entirety.
    In this Amended and Restated Charter of 1999, part of the previous XI Article (1994) can be found in a Restated EIGHTH Article.
    The last Amended and Restated Charter is dated, April 8, 2003. In it, the NINTH Article remains the same as above stated in the 1999 version.
    I hope this information has satisfactorily answered your questions.
    Barbara

  • stevenyc
    stevenyc
    WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, INC., WATCH TOWER BIBLE AND TRACT SOCIETY OF PENNSYLVANIA, WATCHTOWER ENTERPRISES, L.L.C., WATCHTOWER FOUNDATION, INC., WATCHTOWER ASSOCIATES, LTD., KINGDOM SUPPORT SERVICES, INC., CHRISTIAN CONGREGATION OF JEHOVAH'S WITNESSES, RELIGIOUS ORDER OF JEHOVAH'S WITNESSES, NAPA KINGDOM HALL now doing business as NAPA CONGREGATION OF JEHOVAH'S WITNESSES - JEHOVAH'S WITNESSES OAK KNOLL CONGREGATION and JEHOVAH'S WITNESSES SILVERADO CONGREGATION, and DOES 1 through 20, inclusive.
    CHARISSA W., et al.,

    Plaintiffs,

    v.

    WATCHTOWER BIBLE AND TRACT SOCIETY OF NEW YORK, et al.

    Holy Moly Barbara, Thats them! All of them!

    steve

  • johnny cip
    johnny cip

    i met kim norris. 5 years ago. and talked to her for about 30 minutes. on and off. i was trying to gauge. her intelligence? and knowledge of the wts. i wasn't very impressed at the time. i walked away ,with the feeling she didn't understand the jw mentality... but i've been trying to follow . the court cases . love and norris have been involved in . and i HAVE to give KIM LOT'S OF CREDIT. the wt has been . 2 steps ahead of her for years. but she never gave up . were a lesser person would have quit years ago. I TAKE MY HAT OFF TO MS. NORRIS. she fooled me. this lady has perserverance (sp). i'm sure this will not be her last victory , against the CRAPTOWER.

  • skeeter1
    skeeter1

    BANKRUPTCY - The documents referenced above do not answer the bankruptcy question. They are internal documents that govern what happens to the left-over assets if these non-profit corporations dissolves or terminates business on its own accord. These paragraphs are modeled after US tax law. What happens at bankruptcy is mandated by US bankruptcy law. In bankruptcy, there are no left over assets (i.e. the debtor is insolvent). Becuase there is not enough assets to pay all the debts, the bankruptcy trustee "prioritizes" the corporation's creditor's claims (i.e. the power company, the law firms, the employee's unpaid wages) into various classes. The "higher" the creditor's "priority", the more likely it will be paid out of the corporation's assets (if this is a complete bankruptcy where all the assets are sold). One of the highest classes are the bankruptcy attorney's fees, followed by the secured creditors (e.g. mortgage holders), followed by unsecured creditors (e.g. the light bill). A child molestation victim with a large, but unpaid settlement would be a creditor. Bankruptcy law in section 523 states that certain debts are not "dischargable" (i.e. they are still due despite the bankruptcy). These include many taxes, educational loans, alimony/child support, DUI/Drug related tort lawsuits (which this isn't), and "willful & malicious" injury torts. It would take alot for a court to determine that not reporting a child molestation is "willful & mailicious" (though we all think it is). Here, a child molestation claim would probably be a dischargable, unsecured debt. As such, payment for it would come out the the corporation's assets, but only after all the higher priority pools (i.e. after the attorney's fees and secured creditors). In many bankruptcies, the unsecured creditors are never paid or are only paid pennies on the dollar.

    The WTS could try to "move" money or assets around before claiming bankruptcy, but the US laws are pretty strict against "fraudulent conveyences" and a judge/trustee would probably scrutinize any big changes occuring within 2 years prior to bankruptcy.

    I seriously doubt that the WTS is bankrupt. Look at all the assets it owns, and its current fair market value. They could pay for many, many, many of these lawsuits.

    TAX EXEMPT v. "DOING BUSINESS" - The "doing business" standard is in a different ballpark than "tax exempt" status. "Doing business" in the realm of 'whether or not a court can drag a defendent into court' deals with having "minimum contacts" in the State. Here, owning/selling land and providing self-insurance to related entities was enough minimum contacts. This is a right decision based on the facts. The purpose of this law is to allow the State's citizens a convenient venue (i.e. an in-state court) in which to sue an organizastion that solicits transactions from in-state citizens. Tax Exempt "doing business" means doing it for a profit motive, instead of a religious, charitable, education, etc. motive. When the IRS determines that the main motive is "for profit" then the 501(c)(3) is lost.

    BIG NEWS - This is great news, indeed. But, it's not BIG news until it hits the front page of many newspapers around the country. Right now, only "we on this 4 page thread" and the judge know about it. The JW is ignorant, your neighbor is ignorant, etc. It will make news, especially when this case is won. For now, it looks like it's in the pre-trial stage. Alot can happen. The WTS could decide to settle the case out-of-court - rather than set a precedent or hand over the documents.

    Without the 20/20 report, this case would have never happened, nor would have Love & Norris been involved.

    Skeeter

    p.s. Wouldn't this be a great "Court TV" case?

  • metatron
    metatron

    No doubt, this is excellent news. A court precedent has been established that could hurt them, big time.

    The next fear for us in this concerns producing the documents. I hope pressure can be put on the elders involved and get them to fear the loss

    of their homes and property. Let the Watchtower take the fall, brothers.

    The key to Watchtower defeat is ........ keep chipping away! Dare I hope for a "Catholic level" lawsuit victory? That could finish

    them off!

    metatron

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