Can a private club 501(c)(3) or a 501(c)(4) discriminate on the basis of Gender? I want to know the effect on California Law, Federal Law, the California Franchise Tax Board, and the IRS regarding gender discrimination in non-profit organizations.
The Roosters Foundation and Roosters Inc were formed more than 40 years ago with the mission of serving at-risk children in orange county. Roostersfoundation.org. It has held itself out as an all men’s club and has at part of its “creed” “. . . an organization that stands for busy worldly men . . .”
The current Board, our client, has recently admitted women to the club and is getting lots of pressure from a few old members who don’t like the change. The decision to bring women in was not for any legal compliance but because it was the right thing to do. Now, however, the Board is looking for a legal brief to support the position that it is illegal for them to exclude women from the club.
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