There is a very important reason that church leaders should carefully consider the drafting of their church constitution and by law provisions. U.S. courts normally refuse to hear disputes that arise in the context of church relationships because resolution of such matters may require inquiry into a church’s doctrine. However, when a court determines that a dispute may be resolved without inquiring into doctrinal matters, it will look to the church’s governing documents and what those documents say about the church's internal government and decision-making processes.

In the absence of clear and effective guidance in these provisions, courts try to resolve disputes on the merits of a case, and by using what is known as “neutral principles of law.” This is not a situation you should desire because it could lead to some very unfortunate results that were never contemplated or intended by a church. For this reason, the drafting of a church constitution and by law provisions must be carefully undertaken. That is the document, above all others, that should address most of the issues that could potentially become the subject of disputes and litigation.

In addition, the IRS’ two most recent revisions of the IRS Form 1023 (the 501c3 application for tax-exemption), and the instructions that accompany the form, now require certain language with respect to how exempt organizations must address actual and potential conflicts of interest. It should be clear therefore, that this too must make its way into the church constitution and by law documentation.

For expert guidance on these matters, take a close look at the amazing church-starting guide entitled Building On Faith: Everything You Need To Know About Starting Your Own Church. It's the gold standard in use today by hundreds of American church start-ups. And its written by a devoted Christian and church law expert... Abe Hernandez, Esq.