Bill > S04132

This bill prohibits charitable organizations registered in New York from using charitable donations to fund confidentiality agreements or closed settlement agreements. Specifically, the bill defines these agreements as private or court-ordered resolutions that limit the disclosure of information about the agreement. Under this proposed law, charitable organizations would be barred from using donor funds to make any payments that are part of such confidentiality or settlement agreements. This means that if a charitable organization is involved in a legal dispute and reaches a settlement that includes a requirement to keep certain details private, they cannot use money donated by supporters to pay for those confidentiality terms. The bill would take effect immediately and apply to any agreements entered into on or after its effective date, aiming to increase transparency and ensure that charitable donations are used for their intended charitable purposes rather than potentially covering up legal issues.

Budget and Finance, Government Affairs

https://www.nysenate.gov/legislation/bills/2025/S4132