Churches have generally avoided legal entanglements for most of my life, but that’s changing. Over the last decade, we’ve seen major religious liberty litigation, ministry and denominational sexual abuse cases, ministry-employee rights disagreements and more. It’s clear that ministry lawsuit risk is increasing, so what are we to do?

While this article doesn’t constitute legal advice, it does offer some ideas for managing risk and navigating an increasingly litigious cultural landscape.

How do you reduce ministry lawsuit risk? Consider these five ideas:

1. Implement a robust abuse prevention plan.
2. Take steps to limit liability and personal injury lawsuits.
3. Prepare for insurance coverage disputes.
4. Define facility use policies for events, weddings and funerals.
5. Clarify and clean up your governing documents.

Idea #1: Implement a robust abuse prevention plan. Effective abuse prevention plans include background checks, adequate screening, automatic exclusions for ineligible workers, child protection policies, security procedures, and prompt incident reporting. Recognize and communicate that church leaders and ministry volunteers are state-mandated reporters of child abuse and neglect. Most state laws require mandated reporters to make reports immediately upon learning of child abuse or neglect.

Every church should have a child protection policy with robust abuse prevention rules and a clear reporting process for any suspected abuse or inappropriate volunteer behavior. Volunteers should be thoroughly vetted with background checks, references, staff leader observation and personal interviews. Any prospective volunteer with preschoolers, children or students should be considered for service only after a defined waiting period (usually six months to one year).

Idea #2: Take steps to limit liability and personal injury lawsuits. It’s important to recognize that lawsuits can occur at any time and for any reason. Steps that limit liability or mitigate risk, such as waivers of liability, are a means for minimizing risk and deterring potential lawsuits.

In the event of an accident, administer first aid, call 9-1-1 and ensure the injured party receives quality care. Ensure the comfort of the injured party and communicate the church’s desire to care for personal, spiritual and physical needs. File a Medical Payments Coverage (MedPay) claim with the church’s insurance company and communicate regularly with the injured party to convey the church’s goodwill and ensure prompt resolution of their claim. Finally, work in good faith for the injured party’s good health and personal restoration.

While there is no way to prevent every lawsuit or assess and mitigate all risk, regular safety inspections and risk assessments are an important tool for encouraging safety, preventing accidents and mitigating personal injury claims. Most insurance companies offer or mandate safety assessments via their own Insurance Inspectors. Churches can also conduct regular self-inspections for an added layer of protection.

Idea #3: Prepare for insurance coverage disputes. The insurance environment is already difficult in light of rising premiums, limited insurance options and reduced coverage, but the most challenging development is the rise of denied claims (either in part or in full). It is important to fully understand the policy provisions, limits, deductibles and exclusions for your church’s property insurance coverage.

Recognize that an insurance policy is an agreement between the church and its carrier to provide certain levels of coverage for an annual premium. Both parties have responsibilities in this arrangement, and both parties have an interest in the amicable resolution of any disputed claim. Steady negotiation between the church and the insurance carrier can yield a positive result in many situations. In the event a suitable resolution cannot be completed, the church can seek relief for a denied claim in the courts.

Idea #4: Define facility use policies for events, weddings and funerals. At the core, church facilities are for Christ-centered purposes and reflect the church’s desire to be good neighbors in its community. As such, facility use policies for any event, wedding or funeral imposes limits on the use of church facilities. Any activity must conform to the church’s adopted policies and doctrinal beliefs. For clarity, a summary statement of faith is included in these policies to remove any ambiguity about the church’s doctrinal positions.

Wedding policies and funeral policies require additional clarification:

• Definition of Marriage – Churches must define biblical marriage and clarify what marriages may be conducted on church property and be performed by the church’s ministers and pastors. Position papers and executive summaries of the church’s doctrinal and theological perspective and policy on marriage and divorce can be a useful exercise here.
• Wedding Handbook – Key components of a Wedding Handbook include the church’s definition of marriage, statement of faith, guidelines for officiants and ministerial participation, wedding logistics and direction, scheduling, fees and available venues, rules of decorating and other details.
• Funerals – Churches should detail how and when funeral and memorial services will be conducted on church property and conducted by the church’s ministers and pastors. Well-written policies offer legal protection from potential lawsuits seeking damages for policy or doctrinal positions unevenly applied to both members and non-members. Once again, this illustrates the importance of a clear definition of the responsibilities and requirements of church membership.

Idea #5: Clarify and clean up your governing documents. If your church is operating in ways that don’t match your governing documents, then you’re at increased risk for litigation, controversy and conflict. The solution is to amend these documents to match current practice and the functional ways the church operates currently.

In addition to operational clarity in church constitutions and bylaws, additional legal protection in five key areas should be considered:

• Marriage & Sexuality – Churches need a Biblical definition of marriage in their bylaws. This protects the church in the event an employee engages in an unbiblical sexual relationship or if an unmarried couple seeks to participate in events designed for married couples.
• Biblical Authority – Legal challenges to church policies or bylaws may require a ruling on the interpretation of Scripture. Defining a governing body or group as the church’s sole authoritative interpreter of Scripture specifies how this will occur should a dispute or legal challenge arise.
• Membership Definition – Develop a clear definition of a member in good standing. Clarify that full agreement with the church’s statement of faith is a pre-requisite for church membership.
• Member Discipline Procedure – Since we are a fallen people living in a fallen world, situations will arise requiring church discipline. Outline the process and forum where these delicate and sometimes difficult conversations will occur.
• Procedure for Rescinding Membership – Define the bylaw-defined group that will make an official determination on rescinding member status for an individual.

So what’s the Big Idea?

Take proactive steps to minimize your church’s lawsuit risk. What you do now can mitigate liability exposure and unnecessary litigation in the key areas of abuse prevention, personal injury, insurance coverage, facility use and your governing documents.

Resources

• Keep Your Church Out of Court by MinistryActionPlans.com
• Essentials 2.0: Abuse Prevention and Response Guide for Ministries by Southern Baptist Convention
• “The Top 5 Reasons Churches and Religious Organizations Go to Court” by Matthew Branaugh and Church Law & Tax
• Church Law & Tax
• Alliance Defending Freedom
• Michael Best Faith-Aligned Legal Counsel
  
  

Source

“Five Things All Churches Should Have in Their Bylaws” by Alliance Defending Freedom (July 16, 2014).