FOUNDATION (CHARITY)

A 'charitable foundation' is a legal categorization of nonprofit organizations that either donate funds and support to other organizations, or provide the sole source of funding for their own activities.

Contents

Foundations in Civil Law systems

Foundations in Common Law systems

Foundations in U.S.A.

Foundations in England

Foundations in Canada

See also

Further reading

Further listening

External links

Foundations in Civil Law systems

The term "foundation" originates in civil law jurisdictions, where it is used to describe a distinct legal entity.
A foundation has legal personality, and is entered in a public registry like a company. Unlike a company, it has no shareholders, though it may have voting members. It holds assets in its own name for the purposes set out in its constitutive documents, and its administration and operation is carried out in accordance with contractual rather than fiduciary principles. The foundation has a distinct patrimony independent of its founder.
Foundations are often set up for charitable purposes.
The foundation finds its source in institutions of medieval times when a patron would establish a foundation to endow a monastery or other religious institution in perpetuity.
The States of Jersey are considering introducing civil law type foundations into its law. A consultation paper presenting a general discussion on foundations was brought forth to the Jersey government concerning this possibility: ''Foundations: Proposals for a new law'' (pdf file).

Foundations in Common Law systems

Foundations in U.S.A.

:''Main article: Foundation in U.S.A. (charity)''
In the United States, many philanthropic and charitable organizations are considered to be foundations. However, the Internal Revenue Code distinguishes between private foundations (usually funded by an individual, family, or corporation) and public charities (community foundations and other nonprofit groups that raise money from the general public). Private foundations have more restrictions and less tax benefits than public charities.

Foundations in England

In England, the word "foundation" is sometimes used in the title of a charity, as in the British Heart Foundation and the Fairtrade Foundation. Despite this, the term is not generally used in English law, and (unlike in civil law systems) the term has no precise meaning.

Foundations in Canada

:''Main article: Foundations in Canada''
In Canada under Canadian law, foundations may be public or private, but both are charities. They collectively comprise a large asset base for philanthropy.

See also

★

★ Charitable organisation

★ Charitable trust

★ List of wealthiest foundations

★ Offshore foundation

★ Program evaluation

★ Think tank

★ List of articles about charitable foundations

★ Nongovernmental organization

★ International nongovernmental organization

Further reading

★ Dwight F. Burlingame, ''Philanthropy in America: A Comprehensive Historical Encyclopedia'', Santa Barbara, Calif. [etc.] : ABC-CLIO, 2004

★ Mark Dowie, ''American Foundations: An Investigative History''. Cambridge, Massachusetts: The MIT Press, 2001.

★ Lester M. Salamon et al, "Global Civil Society: Dimensions of the Nonprofit Sector", 1999, Johns Hopkins Center for Civil Society Studies.

★ David C. Hammack, editor, "Making the Nonprofit Sector in the United States", 1998, Indiana University Press.

★ Joan Roelofs, ''Foundations and Public Policy: The Mask of Pluralism'', State University of New York Press, 2003, ISBN 0791456420

Further listening

★ Joan Roelofs, '' The Invisible Hand of Corporate Capitalism'', Recorded at Hampshire College, April 18, 2007. [1]

External links

★ European Foundation Centre.

★ The Foundation Center, a Clearinghouse of Information on the approximately 70,000 U.S. foundations

★ Council on Foundations