Sheppard Mullin

Sheppard Mullin is one of the few large international law firms with attorneys who are dedicated full-time to nonprofit organizations and tax exemption matters – and who have dedicated their careers to working with nonprofit organizations.

Our Services

Our team advises clients on the full life-cycle of a tax-exempt, nonprofit organization –from formation, to obtaining and maintaining tax-exempt status, to operational, governance and compliance matters, to corporate transactions and restructurings, and through dissolution, including in particular:

• Forming new nonprofit organizations and obtaining tax exemption
• Corporate governance – including counseling governing boards on Bylaws, policies and procedures, fiduciary duties, conflict of interest, ethics and best practices
• Preparing Board resolutions and participating in board and committee meetings
• Unrelated business income tax
• Charitable contributions and philanthropy, and charitable trusts
• Fundraising, charitable solicitation registration and charitable co-venturer arrangements
• Endowment funds and restricted gifts
• Grant-making issues and agreements
• Excess benefit transactions, private inurement and private benefit
• Operational matters, including negotiating and drafting contracts
• Executive compensation
• Private foundation excise taxes
• Lobbying limitations and political campaign prohibition
• International charitable operations and “friends of” organizations
• Joint ventures, mergers and acquisitions and consolidations
• Strategic planning and guidance relating to corporate organizational and governance and structuring for multi-entity affiliated groups, including relationships with for-profit affiliates
• Structuring joint ventures, complex affiliations and other affiliation arrangements between tax-exempt and for-profit organizations
• Spin-offs of divisions of a tax-exempt entity into for-profit structures
• “Hybrid” nonprofit/for-profit or “social enterprise” entities – benefit corporations, flexible purposes corporations, low-profit limited liability companies and benefit LLCs
• Tax-exempt financing – Qualified §501(c)(3) bonds and post-issuance compliance
• Exemption from state and local real property tax, income tax and sales and use tax
• Review of annual filings, including IRS Forms 990 and 990-PF
• Audits, investigations and proceedings by the IRS, state attorneys general and other governmental bodies
• Conversions to taxable and tax-exempt status
• Dissolutions

Sheppard Mullin also has the depth to handle a broad range of other legal needs for nonprofits –including privacy and data security, intellectual property, finance, government investigations, immigration, labor and employment, litigation, real estate, trusts and estates, tax, arbitration, bankruptcy, Tribal and Indian Law and technology transactions.

"As Sheppard Mullin continues to grow, it is important that we not lose sight of the need to recruit women, attorneys of color and others of diverse backgrounds."
-Guy Halgren, Chairman of the Executive Committee

At Sheppard Mullin, we make every effort to recruit the finest lawyers and nurture their talents. The firm recognizes the importance of diversity and the need to create a workplace of inclusion. We need ¿ and our clients demand ¿ a team of attorneys that is as diverse as our increasingly global client base. Achieving and maintaining diversity is key to great client service ¿ a core value of our firm. What distinguishes good intentions from results is a commitment by senior management to find the best attorneys possible coupled with the sincere belief that people with diverse backgrounds bring valuable attributes to the firm. At Sheppard Mullin, the Executive Committee, Diversity Committee, and the lawyers in each of our offices work hard to ensure that all attorneys who join our firm fit in seamlessly and are encouraged to succeed.

Members of our Diversity Committee include ethnically diverse attorneys and a representative from the firm's Executive Committee. Diversity Committee members have served on the Boards of the Anti-Defamation League, the Black Women Lawyers Foundation (Los Angeles), and the Charles Houston Bar Association (northern California). Women and minority attorneys participate on key committees of the Firm (Executive Committee; Compensation Committee; Diversity Committee; Recruiting Committee; Professional Personnel Committee; Associate Issues Committee). Four of the Firm's nine Office Administrative Partners are women, one of whom is African-American and another is multi-racial.

"Serving on the firm's Diversity Committee is one of the most important things I do. I firmly believe that we must be vigilant in our efforts to recruit talented women attorneys and attorneys of color. Our success in this area has a positive effect our firm's culture, practice and client relationships."
-Joan Story, Member Executive Committee and Diversity Committee

Below is a description of just some of our outreach efforts.

• The firm participates in and financially supports the California Minority Counsel Program and the ABA Minority Counsel Program, as well as several minority bar associations. These groups are dedicated to increasing access for and promoting and retaining minorities in the legal profession.
• The firm actively recruits law students of color, e.g., we participated in the National Black Law Students Association (NBLSA) of the Western Region job fair held at UCLA School of Law.
• Sheppard Mullin contributes to the Minority Corporate Counsel Association; California Women Lawyers; Queen's Bench; Black Women Lawyers Association of Los Angeles; and the National Black Law Students Association, among others.
• We actively participate with other major Los Angeles law firms in the Diversity Directors Roundtable, a group that is committed to promoting diversity in the legal profession and in our firms.
• The firm received the Law Firm Award from the Black Women Lawyers Association of Los Angeles Foundation for its strong commitment to the promotion of community and pro bono activities.
• Multicultural Law magazine named Sheppard, Mullin, Richter & Hampton LLP as one of "The 2011 Top 100 Law Firms for Diversity."
• Sheppard Mullin helped underwrite the production of a motion picture project entitled "Soul of Justice: The Life and Times of Thelton Henderson." The film chronicles the life of respected African-American jurist Thelton Henderson, a crusading civil rights litigator and role model.
• The firm signed the Bar Association of San Francisco's "No Glass Ceiling Initiative," BASF's "Minority Goals and Timetables," the New York County Lawyers' Association Diversity Statement, and the Los Angeles County Bar Association's Diversity Statement.

Much of our pro bono work relates to the diversity of the communities in which we practice; sample clients include:

• Constitutional Rights Foundation
• Domestic Violence Project, Los Angeles Bar Association
• Lawyers Committee for Civil Rights
• Task Force for the Women's Resource Fair, City of San Diego
• Tolerance Through Education Program, Beverly Hills Barristers Associations
• Violence Against Women Act Program, Legal Aid Foundation of Los Angeles

Awareness of diversity enables us to understand the value of differences. At Sheppard Mullin, we are committed to hiring top tier attorneys, without regard to race, ethnicity, gender or sexual orientation.