(a) The conference, synod, convention or other ecclesiastical body representing any church or religious denomination within the State, as also the religious societies and congregations within the State, may from time to time and at any time appoint in such manner as such body, society or congregation may deem proper, a suitable number of persons as trustees for such church, denomination, religious society, or congregation. The body appointing may remove such trustees or any of them, and fill all vacancies caused by death or otherwise.
(b) A person serving as a trustee appointed pursuant to subsection (a) of this section or a director or officer of a religious society shall be immune individually from civil liability for monetary damages, except to the extent covered by insurance, for any act or failure to act arising out of this service, except where the person:
(1) Is compensated for his services beyond reimbursement for expenses,
(2) Was not acting within the scope of his official duties,
(3) Was not acting in good faith,
(4) Committed gross negligence or willful or wanton misconduct that resulted in the damage or injury,
(5) Derived an improper personal financial benefit from the transaction,
(6) Incurred the liability from the operation of a motor vehicle, or
(7) Is sued in an action that would qualify as a derivative action if the organization were a for-profit corporation or as a member's or director's derivative action under G.S. 55A-28.1 or G.S. 55A-28.2 if the organization were a nonprofit corporation.
The immunity in this subsection is personal to the officers, directors, and trustees and does not immunize the organization for the acts or omissions of the officers, directors, or trustees. (1796, c. 457, ss. 1, 2; 1844, c. 47; 1848, c. 76; R.C., c. 97; Code, ss. 3667, 3668; Rev., ss. 2670, 2671; C.S., s. 3568; 1987, c. 799, s. 1.)
Notes of Decisions
Cited in
6
cases (
2 in the last 5 years), 1953–2022 · leading case:
Bridges v. Oates, 167 N.C. App. 459 (N.C. Ct. App. 2004).
Bridges v. Oates, 167 N.C. App. 459 (N.C. Ct. App. 2004).
· cites it 4× “Thus, plaintiffs in the case sub judice are not precluded from prosecuting a complaint against defendants, whom they allege have derived an improper personal financial benefit from the transaction, committed gross negligence or willful or wanton misconduct that resulted in…”
Bridges v. Oates, 605 S.E.2d 685 (N.C. Ct. App. 2004).
· cites it 4× “Thus, plaintiffs in the case sub judice are not precluded from prosecuting a complaint against defendants, whom they allege have derived an improper personal financial benefit from the transaction, committed gross negligence or willful or wanton misconduct that resulted in…”
Atkins v. Walker, 200 S.E.2d 641 (N.C. 1973).
“The clear inference in the record is that the church has named trustees, pursuant to G.S. 61-1, who hold the legal title but have no right of control “as against the governing body of the church.”
Pressly v. Walker, 78 S.E.2d 920 (N.C. 1953).
“The trustees and their successors have power to receive donations, and to purchase, take and hold property, real and personal, in trust for such church or denomination, religious society or congregation; and they may sue or be-sued in all proper actions, for and on account of…”
McKnight v. Wakefield Missionary Baptist Church, Inc., 2021 NCBC 35 (N.C. Bus. Ct. 2021).
· cites it 18× “G.S. § 61-1(b) (emphasis added). Plaintiffs seek several nonmonetary remedies, including the voiding of the transfers of the church’s property and the imposition of a constructive trust on WMBC Inc.”
N.C. Gen. Stat. § 61-1(b): 2 cases
McKnight v. Wakefield Missionary Baptist Church, Inc., 2021 NCBC 35 (N.C. Bus. Ct. 2021).
“G.S. § 61-1(b) (emphasis added). Plaintiffs seek several nonmonetary remedies, including the voiding of the transfers of the church’s property and the imposition of a constructive trust on WMBC Inc.”
N.C. Gen. Stat. § 61-1(b)(3): 1 case
McKnight v. Wakefield Missionary Baptist Church, Inc., 2021 NCBC 35 (N.C. Bus. Ct. 2021).
“G.S. § 61-1(b) (emphasis added). Plaintiffs seek several nonmonetary remedies, including the voiding of the transfers of the church’s property and the imposition of a constructive trust on WMBC Inc.”
N.C. Gen. Stat. § 61-1(b)(7): 1 case
McKnight v. Wakefield Missionary Baptist Church, Inc., 2021 NCBC 35 (N.C. Bus. Ct. 2021).
“G.S. § 61-1(b) (emphasis added). Plaintiffs seek several nonmonetary remedies, including the voiding of the transfers of the church’s property and the imposition of a constructive trust on WMBC Inc.”
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