More details to this question:
I wrote a book. The book is going to be on a web site that is forming a new political Party. I want "some" of the profits from the sale of the book to go towards forming the new political party. Here is what we are trying to say on the web site. "Buying the book will allow us to use some of the profits to become a National Political Party, a non-profit," etc. etc. What I want to know is am I leaving myself open to be sued by someone because they paid $7.00 for a book and all the profits are not going to the political party.
1 ANSWER
You can always be sued, by anyone, for anything. The question is whether they can win. The best way to cover yourself is to be completely forthright about what you are doing. Make sure that anyone who buys the book knows exactly where their money is going, i.e. what percentage is going towards the political party and what percentage is going elsewhere. Also, don't be too loose with the term "non profit". Does the organization qualify as a not for profit entity under both IRS and state regulations and laws? Has it registered as one?
Answered on Jul 09th, 2013 at 4:06 PM