AB 2327 Summary

• Attorney General may issue cease and desist orders and impose penalties up to $1,000 per violation of charitable organization laws, with accruing daily penalties of $100 until violations are corrected.

• Attorney General may suspend registration of charitable organizations that fail to pay assessed penalties, and may seek injunctive relief in court to enforce charitable organization provisions.

• Persons or entities may request a hearing within 30 days to challenge Attorney General actions, with procedures set forth in Title 11 of the California Code of Regulations.

• Prohibits knowingly submitting false or misleading statements, reports, or financial information to the Attorney General on behalf of charitable organizations.

• Requires charitable organizations with restricted net assets but negative unrestricted net assets to provide explanations of charitable trust compliance and proof of directors' and officers' liability insurance to the Registry of Charitable Trusts.