St. John’s Hospital Foundation Suing Over Donation Pledge
The St. John’s Hospital Foundation is suing the estate of Paula Kent Meehan because she revoked a pledge to donate $5 million before her death. The pending lawsuit is a case study of whether charities can legally enforce donation pledges. Aside from the legal issues there are also public relations issues that the charity needs to contend with. Charities like St. John’s Hospital do not want to risk scaring away potential donors by being overly aggressive with litigation. At the same time the Hospital has an interest in protecting its donation pledges. St. Johns Foundation may have a legal claim because Meehan signed an “estate pledge commitment” that included language stating the pledge was “legally binding.”
See Stuart Pfeifer, St. John’s hospital foundation sues to enforce donation pledge, The Los Angeles Times, July 21, 2015.