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§ 3.5 EXEMPTIONS

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Most of the states' charitable solicitation acts provide some form of exemption from their requirements; however, these laws vary widely with respect to the exemptions available for organizations and solicitations. As noted, the basic definition of the term charitable is sufficiently broad to initially encompass all categories of charitable and other organizations. Therefore, these laws are applicable to soliciting religious, educational, health care, and other charitable organizations, unless an exemption is expressly available to them.

These statutory exemptions may be available for an organization because of the nature of the entity or for an organization to the extent it engages in a particular type of solicitation. The exemption may be from the entirety of the statute or merely a portion of it. In some states, an exemption is not effective until the organization applies for it and is recognized by the state to have it.47

The Law of Fundraising

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