Bill > S186

This bill amends existing law to require professional solicitors, who are individuals or companies hired to raise money for charities, and commercial co-venturers, which are businesses that partner with charities for fundraising, to provide specific disclosures to potential donors before or at the time of requesting a contribution. These disclosures must include the solicitor's true name, a statement that the solicitation is by a "paid fund-raiser," the name of the employer if the solicitor is compensated, the charitable organization's name, address, and phone number, and a description of how the contributions will be used for charitable purposes. Additionally, the bill mandates the disclosure of the guaranteed minimum percentage of gross receipts that will go to charity and the percentage spent on fundraising costs, with "costs of fundraising" defined to include direct expenses and a portion of administrative costs and salaries. A key provision limits the amount spent on professional solicitors or commercial co-venturers to no more than fifty percent of charitable donations. Violations of these requirements will be treated as violations of Chapter 93A, a consumer protection law, allowing aggrieved individuals to pursue legal action for damages or to stop the practice.