Church Law & Tax Report
November/December 2006
Feature Article
The New Pension Reform Law Affects Every Church 
Provisions go far beyond pension plans.
Articles
Recent Developments
Issues that affect ministers and churches, with Richard R. Hammar
Bankruptcy
Bankruptcy 
A bankruptcy court in Arkansas ruled that a bankruptcy trustee could not object to a couple's bankruptcy plan on the ground that they proposed to continue making contributions to their church.
Privacy 
A federal appeals court ruled that an employee did not have an expectation of privacy in his workplace computer.
Contracts 
A church's decision to discontinue making payments to a former pastor's widow did not amount to a breach of contract.
Church Property 
The Pennsylvania Supreme Court upheld the validity of imposing a trust upon the properties of affiliated churches in favor of the national church.
Clergy—Removal - Part 1 
A federal court in Pennsylvania ruled that it was barred by the First Amendment from resolving a church music director's disability discrimination claim.
Clergy—Removal - Part 2 
A federal appeals court ruled that it was barred by the First Amendment from resolving a lawsuit brought against a denomination by a dismissed minister.
Clergy—Removal - Part 3 
A federal court in Connecticut ruled that it was barred from resolving a minister's claim that a church's refusal to hire him amounted to discrimination based on race and national origin.
Confidentiality 
A Florida court ruled that a student at a religious high school could not sue the school as a result of the disclosure of his sexual orientation.
Employment Practices - Part 1 
A federal court in Oklahoma ruled that a church was not liable on the basis of sexual harassment for the conduct of a minister.
Employment Practices - Part 2 
A New York court ruled that a church could be sued by a former employee for discriminating against him on the basis of his religion and sexual orientation.
Employment Practices 
A federal appeals court ruled that a minister's age discrimination lawsuit was barred by the federal Religious Freedom Restoration Act.
Freedom of Religion 
A public school policy prohibiting the rental of school property to churches for religious worship violated the First Amendment guaranty of free speech.
Defamation - Part 1 
The First Amendment limits, but does not eliminate, a church's liability for defamation.
Defamation - Part 2 
A District of Columbia court of appeals ruled that a pastor could be sued for defamation for falsely informing a public gathering.
Taxation—Church Property 
The Pennsylvania Supreme Court ruled that a church's parking lot was exempt from property taxation.
Workers Compensation 
A Louisiana court upheld the denial of workers compensation benefits to an injured worker who had been seen performing compensated services for a church.
Zoning - Part 1 
A city did not violate the Religious Land Use and Institutionalized Persons Act (RLUIPA) by denying a church's request for a permit to operate a day care program in a residential neighborhood.
Zoning - Part 2 
Local zoning laws generally allow “churches” in residential areas.
Q&A
Q&A: Can a Pastor Inspect Contribution Records? 
Consider these five factors to help make the best decision for your church.