[sac-forum] Of what is everyone so afraid?

Waivers - schmaivers.   Clubs and Astronomy are supposed to be fun.  

What attorney in his right mind is going to go after an organization that has 
nothing?  

When one agrees to be a member of a board, they are accepting certain risks.  
Generally the institution on which one serves will indemnify the board member.  
In this case, SAC does not have any assets and so the board serves at their own 
personal risk.  While misfeasance and/or malfeasance should have to be proved, 
it still does not pay for defense.  Therefore would it not be prudent to make 
sure that the insurance policy names SAC and its current and/or future board 
members who may be named as individuals while acting in the capacity of a board 
member in claims as co-insureds with SAC?

One club I belonged to Incorporated as a non-profit entity and did a couple of 
fund raising events for the benefit of the local fire department each year.  
Liability insurance of $1,000,000 was secured for next to nothing and 
underwritten to include three special events each year.  When an event was 
planned, I simply called the underwriter, gave him the data and he would send 
me an endorsement that also included the person who was donating the use of the 
property on which the event was being held along with certificates of insurance 
to present to the donor.

The reason I am putting in my two cents worth:  As a reasonable and prudent 
individual sitting on a jury I will be swayed that a waiver is already 
admitting that there are dangers and that the club decided to require waivers 
instead of fixing problems.  Lets take the example that was raised, that of 
tripping over a battery wire.  It could be argued that the board did not 
adequately police the manner in which the batteries were set up and decided 
that waiver would relieve them of the responsibility.  It really isn't too far 
fetched folks.  Don't forget McDonalds being sued for having the coffee too 
hot...and what the trial by your peers did on that one and countless others.

So it is pretty simple for the board members:  Position the club and its 
activities to avoid reasons for potential litigation.  Keep a liability policy 
in full force and effect with complete underwriting information so that the 
insurance carrier can not deny any valid claims.  Have the board named as 
co-insureds on the liability policies.  And finally, resign from the board if 
you feel the personal risk is too great.

Cheers,

Geoff







 


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