GreekChat.com Forums

GreekChat.com Forums (https://greekchat.com/gcforums/index.php)
-   Greek Life (https://greekchat.com/gcforums/forumdisplay.php?f=24)
-   -   Sorority Chapter at U. of Utah May Close April 30 (https://greekchat.com/gcforums/showthread.php?t=74364)

33girl 07-30-2006 02:51 PM

Quote:

Originally Posted by exlurker
Update: Court Case About $$$ From House Sale

A Salt Lake City paper is reporting that a lawsuit has been filed over the question of where the proceeds from the sale of the Tri Delta house will go.

See story:

http://www.sltrib.com/utah/ci_4111098

Brief excerpt:

The Delta Delta Delta sorority has left the University of Utah, but a debate over what legacy its house will leave went to court this week.
The national Delta Delta Delta sorority filed suit in 3rd District Court on Thursday claiming its Theta Phi chapter, which had been on the U.'s campus since 1932 and has owned a house on Greek Row since 1939, has refused to hand over the house title.
Utah alums say they have good reason: They want proceeds from the sale of the house . . . to benefit the local community, rather than going into the national sorority's general operating fund. . . .

YOICKS.

In the words of Cartman, now that's what I call a sticky situation.

But if there's nothing in the house corp papers or the deed about the house ownership automatically reverting to the national in a chapter closure, I can't see where their HQ has a leg to stand on.

Adelphean 07-30-2006 11:43 PM

In the end it all boils down to money. That chapter wasn't generating any/enough money for nationals so... nationals closed it. Now nationals wants all the can get out of it. This is not a slam at Tri Delta in any way. My sorority and all other NPC sororities would do the same thing.

exlurker 08-11-2006 04:23 PM

Update: Similar Lawsuit, Delta Delta Delta and U. of North Dakota House

A situation similar to the one concerning the U. of Utah Tri Delta house is going on in North Dakota. The chapter there was closed; now the question concerns the house. The August 11, 2006 Grand Forks [I[Herald[/I] has an article:

http://www.grandforks.com/mld/grandf...s/15247819.htm

At least one other paper, the Bradenton (FL) Herald, also has the article posted:

http://www.bradenton.com/mld/bradent...n/15247819.htm

33girl 08-11-2006 04:34 PM

Quote:

Originally Posted by exlurker
Update: Similar Lawsuit, Delta Delta Delta and U. of North Dakota House

A situation similar to the one concerning the U. of Utah Tri Delta house is going on in North Dakota. The chapter there was closed; now the question concerns the house. The August 11, 2006 Grand Forks [I[Herald[/I] has an article:

http://www.grandforks.com/mld/grandf...s/15247819.htm

At least one other paper, the Bradenton (FL) Herald, also has the article posted:

http://www.bradenton.com/mld/bradent...n/15247819.htm


this blows! :( I remember that chapter in ND put up a big fight to keep their charter before and the whole school supported them. It sucks that they ended up closing anyway.

Tom Earp 08-11-2006 04:46 PM

This is an interesting topic to say the least.

For years, LXA IHQ was to be the final reciepitent of any LXA Chapter house so they could control it in the event that a Chapter was closed.

That has pretty much fallen by the way side.

Now in most instances, houses owned by Chapters are owned by House Corporations. The school or state cannot come in and take the house without working with the true owners, The House Corp. The Chapter is the leasee, the House Corp. is the leasor.

This is of course if they are leased from an outside person or company or College.

Remember, a House Corporation is just that, a Corporation that is registered with the State where they reside.

lake 08-11-2006 05:17 PM

Quote:

Originally Posted by exlurker
Update: Similar Lawsuit, Delta Delta Delta and U. of North Dakota House

A situation similar to the one concerning the U. of Utah Tri Delta house is going on in North Dakota. The chapter there was closed; now the question concerns the house. The August 11, 2006 Grand Forks [I[Herald[/I] has an article:

http://www.grandforks.com/mld/grandf...s/15247819.htm

At least one other paper, the Bradenton (FL) Herald, also has the article posted:

http://www.bradenton.com/mld/bradent...n/15247819.htm

Wow. I hadn't heard that the ND chapter house was also being disputed. This chapter is a couple of hours away from me and I did read statements from those members in a local publication basically saying, "It's our house" when they closed. My first thought was, "Uh oh." :(

I hope they do re-open at ND someday. I've met a few alumnae from there and they're just the nicest women.

exlurker 11-30-2007 07:18 PM

Update November 30, 2007: Judge Rules in Utah Tri-Delta House Ownership Case

A Salt Lake City newspaper has posted this article:

http://www.sltrib.com/news/ci_7597736


. . . a 3rd District Court judge ruled that a Greek Row house belongs to it's
[sic] national organization, Tri-Delta.
. . . Tri-Delta opted to close its U. chapter, Theta Phi, citing recruitment issues in 2006.
. . . The home was appraised in 2006 at about $750,000, and is currently being rented privately, Malouf said.
It's unclear whether Theta Phi House Corp. will appeal Quinn's decision. . . .

SWTXBelle 11-30-2007 07:34 PM

I can't speak to the specifics of Tri-Delta, but in most cases I believe it is pretty straight forward - the house and all assets will revert to the (inter)national org should the chapter fold.
Not that I don't know of cases where alumnae came in and swiped stuff from the chapter upon closing, but I digress . . . .

SthrnZeta 12-01-2007 10:27 AM

I would think that if the house belonged to the Org's Housing Foundation, then if they choose to close the chapter, the house still belongs to them and they have the right to sell it for whatever they choose. Where does the Univ. get off saying they should get the proceeds? Makes no sense to me... And I could definitely see the org wanting to get all they could out of a chapter they closed - especially if they closed it for reasons of low membership (low funds coming in). Any org would do the same - they are, afterall, a business as well as a sisterhood.

irishpipes 12-01-2007 12:17 PM

Quote:

Originally Posted by SthrnZeta (Post 1555809)
I would think that if the house belonged to the Org's Housing Foundation, then if they choose to close the chapter, the house still belongs to them and they have the right to sell it for whatever they choose. Where does the Univ. get off saying they should get the proceeds? Makes no sense to me... And I could definitely see the org wanting to get all they could out of a chapter they closed - especially if they closed it for reasons of low membership (low funds coming in). Any org would do the same - they are, afterall, a business as well as a sisterhood.

I think the dispute is between Tri Delta's local housing corporation and their international organization - not the University. I think it is commonplace now for NPC groups to include a dissolution clause in corporation bylaws stating that if the chapter closes the assets revert back to the international organization, but probably there are older chapters without such clauses, hence the dispute.

TSteven 12-01-2007 12:24 PM

Quote:

Originally Posted by SthrnZeta (Post 1555809)
I would think that if the house belonged to the Org's Housing Foundation, then if they choose to close the chapter, the house still belongs to them and they have the right to sell it for whatever they choose. Where does the Univ. get off saying they should get the proceeds? Makes no sense to me... And I could definitely see the org wanting to get all they could out of a chapter they closed - especially if they closed it for reasons of low membership (low funds coming in). Any org would do the same - they are, afterall, a business as well as a sisterhood.

The university has no say in this. The case is between the Theta Phi Housing Corporation and Delta Delta Delta IHQ. (Reread the article and/or exlurker's post.)

Quote:

Theta Phi House Corp. officials argued that because money to build and maintain the home was raised and used within Utah, under state statute they are guaranteed ownership of the home, Malouf [Colleen Malouf, corporation officer for Theta Phi House Corp.] said.

"That's what we were basing our response on. Tri-Delta national never put any money on this chapter house," she said. "[The judge] didn't even look at the main part of our argument."
I'm sure some of our GC lawyers here can help out, but is the ruling based on the understanding that the Theta Phi House Corp. is acting on behalf (i.e. raising funds) of Delta Delta Delta as a whole? It seems to me that unless specific individuals - and only those individuals - are listed as the Theta Phi House Corp., then the House Corp. *is* Delta Delta Delta.

Quote:

If Tri-Delta sells the home, the national group would hold those funds for 10 to 15 years to help establish another local sorority chapter, "if that looked like it was going to be viable," [Delta Delta Delta attorney John] Lund said.
I am pleased to see the funds will be held to help bring Delta Delta Delta back. That is a wonderful policy.

TriDPrincess 12-01-2007 11:28 PM

So sad :(

SthrnZeta 12-03-2007 09:41 AM

Thanks Irish and TSTeven, that makes a lot more sense. Would the money be held to rebuild Tri-Delta on that specific campus though, or a colony elsewhere?


All times are GMT -4. The time now is 12:08 PM.

Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2025, vBulletin Solutions Inc.