one more thought.....

Records regarding such expenditures like this should have a copy with the business office. We have a PTO file and it has a copy of our copy agreement. We are looking to purchase new signs and marquees for outside and I will ask for a copy to be in our PTO file.

We are still apart of the school just as our parents will always be our parents.

I second that thought (you took the words outa my mouth mum).

A contract is a sticky thing, see if the school district counsel can assist you or knows who will take this case pro bono.

A coffee machine too! Can you sell that on E-BAY? Auction item???? If it helps (on a lighter note) I got in trouble for spending $60....okay not the same but you don't know my Treasuer!!!!

Not a lawyer, but I think you're going to have a hard time fighting this. It was a four year contract, and payments were made by the PTO for two years. I think it's going to be a hard sell to the leasing company that this was an unauthorized transaction when payments were made according to schedule for half of the contract period. It would be something altogether different if payments were never made or only made for a very short period of time.

Also, it was the president that signed it, not just some random parent. I think most businesses that would enter into a transaction with a parent group would very logically assume that a president could enter into a contract. If not the president, then who else???

I'm a little confused about the facts on here. Was this something done maliciously by the president? Was there no real need for this equipment to begin with? It sounds like the circumstances just changed somewhere along the line, and the equipment just wasn't needed at some point. (Maybe the president who signed the contract wasn't even around then?) Then someone neglected to contact the leasing company at that time to find out how to get rid of the equipment--this is hardly the leasing company's problem.

I don't know that the lesson here is one of bylaws. No salesman is going to ask to see a company's bylaws to verify that they are dealing with an appropriately authorized representative of a company. Rather, I think what groups can take out of this experience is the need for keeping and passing along good records and not having parent groups own equipment that the school district should own.

All that said, pto4--good luck and find a real lawyer! Will be interesting to see how this works out.

Originally posted by writermom:
<snip>One thing I am curious about is the principal not knowing anything about the lease. Where did she think this piece of equipment came from?

Oh... I forgot to mention the $1400 dollar Flavia coffee machine that PTO purchased for the Teacher Lounge...
I do appreaciate all the info and encouragement from you guys. I'll keep you posted on how this shakes out.

Yep, that's right--I forgot about the EIN number. I assumed you didn't have your own--my bad. One thing I am curious about is the principal not knowing anything about the lease. Where did she think this piece of equipment came from?

Critter is right, find out what EIN number you are using. If it is not the school then you are infact seperate from your school, When your principal said that she didn't want to get involved it may actually be that it has nothing to do with the district. Out of curiosity did your past president write her title on the contract, was the contract written with her name on it alone or did your groups name show up on is as well? If it was just her name and no where did pto get mention I give them her home address and they could go after her since it was all in her name. Of course if the contract said so and so parent group or that she was a representative of your group then that is really where your group comes in. Our bylaws actually state that we can not enter into agreements on behalf of our district/school and that we are infact liable for all contracts reached with any company...not our school. That is why it is important that your contracts state your groups name. I would think that the leasing company would work out a deal but boy would I love it if you could stick them on your old president!