Page 323 - Washington Nonprofit Handbook 2018 Edition

Internal Controls
Practices and adopted systems which monitor, measure, and direct against risk
and fraud and are the responsibility of board members to establish.

Internal Revenue Code
The codified laws of the federal government related to federal taxation.

Involuntary Dissolution
When a nonprofit corporation is dissolved involuntarily by administrative
action of the Secretary of State. This happens when the nonprofit fails to
adhere to its operating requirements, or by judicial action, if the nonprofit
engages in fraud or abuses its authority.

Joint Ventures
When two organizations partner with one another as a strategy to fulfill shared
goals. Joint ventures can be project-specific or comprehensive in their scope;
both require careful attention to guard against private inurement, especially
when a nonprofit organization partners with a for-profit entity.

Listed Persons
Terrorists and terrorist organizations identified under Executive Order 13224.

Mutual Benefit Organization
Organizations are formed and operated for the benefit of some identifiable
group, such as condominium associations and social clubs.

Nonprofit Corporation
A corporation that is established for the benefit of the community, a specific
group or cause. It does not distribute income or shares to its members,
directors, or officers.

Patent

A form of protection within intellectual property law, falling within three main
categories: utility, design, and plant.

Private Foundation
A 501(c)(3) organization that is funded by one source or a very few sources
(usually one individual, family, or corporation) and operates under more
restrictive rules than public charities.

WASHINGTON NONPROFIT HANDBOOK -312- 2018