Momans v. St. John's Northwestern Military Academy, Inc.: Court Considers Federal Volunteer Protection Act

An Illinois federal district court became the first court to construe the federal Volunteer Protection Act.

The federal Volunteer Protection Act ("Act") is intended to provide protections to "volunteers serving nonprofit organizations and governmental entities," so long as the volunteer does not receive any compensation exceeding $500 and does not engage in "willful or criminal misconduct, gross negligence, reckless misconduct or a conscious, flagrant indifference to the rights or safety of the individual harmed by the volunteer." Therefore, the protections of the Act extend to volunteers (like members of REALTOR® organizations) acting within the scope of their duties. State laws can provide additional protections to volunteers.

Parents of students attending St. John's Northwestern Military Academy ("School"), a nonprofit organization, filed a lawsuit in Illinois state court against the School, alleging fraud. Their claims were based on alleged misrepresentations which caused the parents to enroll their children in the School. In their lawsuit, the parents named members of the School's Board of Trustees. The School removed the lawsuit to federal court. The parents filed a motion with the federal court seeking to have the case sent back to Illinois state court, arguing removal was improper.

The United States District Court, Northern District of Illinois, granted the parents' motion. As part of the court's decision, it considered whether the federal Volunteer Protection Act would absolutely prohibit the parents from bringing a lawsuit against the School's Board of Trustees, based on the allegations made in the complaint.

The court ruled that since the parents alleged that the board members had engaged in "wilful misconduct," it was not certain the Act would protect the board members. Therefore, the court ruled that the Act did not mandate that the board members be dismissed and this was one of the reasons the court ruled that this case should be sent back to Illinois state court.

Momans v. St. John's Northwestern Military Academy, Inc.,, No. 99 C 8510 (N.D. Ill. filed April 20, 2000).

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