“An agreement [or gift] can be used to ensure that a donor`s promise can be used to promote donor and donor expectations, and avoid misunderstandings.” – ConservationTools.org, Pennsylvania Land Trust Association A moral clause or moral clause is a small but important segment that you can add to your gift contracts. A moral clause is used to define certain circumstances that would be inconvenient or detrimental to the reputation and values of an organization. According to Lynne Wester, not-for-profit organizations must protect their organizations from unreasonable risks. Most non-profit organizations depend on the goodwill of the public service to attract donors. A close relationship with someone whose name has been severely damaged can damage the reputation of the non-profit organization and its ability to gain support. This resource contains useful information on why a gift deal may be necessary and important and how you can start with an agreement. The following section, entitled `Gift Template Agreement`, contains a gift agreement that has been modelled by an agreement established by the Community Foundation of Collier County. Some other questions and points from Philanthropy Works to consider when developing your formal agreement, writing: Here is an example of Lynne Wester`s language at Donor Relations Guru, so that you have verified your general opinion and have on hand in your donation contract: a donation contract, also called a charitable contract , provides written proof of a gift or gift that has been given to a non-profit organization in the United States. A donation contract is important for both parties: the non-profit organization (often called a beneficiary) and the person or institution making a donation (often calling the donor). The charity must keep accurate records of donations received, but the donor must also keep a record of the donations he has made.
Having specific financial documents in the file will help both parties register internally as well as on the tax date. These standard agreements are only used as a reference and do not constitute legal advice. People who wish to enter into similar agreements are advised to turn to a lawyer.