Corporations, local church: Ownership

4010

(6) If the corporation shall be dissolved or become inactive, or whenever the board of directors (4010:7) shall cease to function or cease to be amenable to The Wesleyan Church as set forth in the General Board Policy on Church Discipline (5305–5320), any or all assets of the corporation shall inure to the district of which the local church is a member, and the district board of administration shall be authorized and empowered to carry on the function of said board of directors (1233:30, 33), provided such district is then exempt under 501(c)(3), and if not, then the assets shall inure to another district or entity of The Wesleyan Church at the discretion of the General Board, provided such district or entity is then exempt under 501(c)(3); and if no such Wesleyan entity exists that is a 501(c)(3) tax exempt entity, then to a similar organization which is tax exempt under 501(c)(3) of the Internal Revenue Code.

4030. All grants, conveyances, devises, gifts, transfers, and assignments made of any property, real, personal, or mixed, to or for an incorporated local church shall be held by and/or conveyed and transferred to the corporate body in its corporate name, in trust for the use and benefit of such local church and The Wesleyan Church, and subject to The Discipline, regulations, and appointments of said Church as from time to time legislated and declared. Every instrument or conveyance of real property shall contain the trust clause as set forth in 4610 (4690) and shall be approved by the district superintendent as being in conformity with the requirements of The Discipline (1310:11).

E. Other Regulations

4060. An incorporated local church and/or its board of directors (4010:7) may not divert property from the ownership and use of The Wesleyan Church and is subject to other regulations concerning local church property as set forth in The Discipline in 4500–4630, 4700–4780, and any other pertinent provisions.

4070. The proceeds from the sale of any real property by an incorporated local church shall only be used for the purchase or improvement of property for that local church, unless otherwise authorized by the district board of administration as set forth in 4720–4738 (1233:30).