Family Tensions May Split Foundation

May 24, 2013 Posted by Jessica Shofler in Board, News

When family foundations are forced to move on from the founding generation, it is a time rife for fights over who will control the organization. The William Davidson Foundation, founded by William Davidson, a businessman and owner of the Detroit Pistons basketball team, is facing these growing pains.

A petition to split the $1 billion foundation into two was dismissed for lack of jurisdiction, but the court didn’t help with the underlying problems. The Foundation’s mostly related board members seem to be fighting over who will best maintain the founder’s philanthropic vision to help local charities and Jewish and Israeli causes, with Davidson’s widow and son battling his son-in-law.

Is your family foundation prepared to pass along the reigns to the next generation?

NOTE: The information contained herein is not intended to be legal advice and the reader should know that no Attorney-Client relationship or privilege is formed by the posting or reading of this article which is also not intended to solicit business.

Casey Summar, Partner, The Law Firm for Non-Profits,1812 W Burbank Blvd, #7445, Burbank, CA 91506

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