Conflict Interest Agreement Sample With Nonprofits
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FAQ
For example, if the president or treasurer of a nonprofit organization also works full-time as a real estate agent and sells property that the nonprofit owns and makes a commission on it, that is considered a conflict of interest.
A conflict of interest exists when a member of the organization has a personal interest that may influence them when making decisions. While the law focuses primarily on financial interests and provides some guidelines, nonprofit organizations contend with a variety of potential and perceived conflicts of interest.
Sample Conflict-of-Interest Policy Statement All trustees, officers, agents, and employees of this organization shall disclose all real or perceived conflicts of interest that they discover or that have been brought to their attention in connection with this organization's activities.
What should a conflicts of interest policy include? A policy on conflicts of interest should (a) require those with a conflict (or who think they may have a conflict) to disclose the conflict/potential conflict, and (b) prohibit interested board members from voting on any matter in which there is a conflict.
Some examples of a conflict of interest could be: Representing a family member in court. Starting a business that competes with your full-time employer. Advising a client to invest in a company owned by your spouse.
