State ex rel. DeWine v. Omar Ibn El Khattab Mosque, Inc.

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The Supreme Court affirmed the judgment of the court of appeals granting a writ of quo warranto sought by the attorney general and ordering the dissolution of Omar Ibn El Khattab Mosque, Inc., holding that the corporation’s failure to adhere to statutory requirements amounted to a surrender of the corporation’s rights and privileges necessitating the remedy of dissolution. Following its inception, the corporation failed to comply with corporate formalities, leading to internal disagreements. A rift subsequently formed between members of the corporation’s congregation, and competing boards of directors were elected, both claiming authority over the corporation and its charitable funds. The leadership struggle led to the funds being frozen and transferred to the Franklin County Clerk of Courts. The attorney general later brought this action seeking to dissolve the corporation. The court of appeals granted the writ and remanded the matter to the court of common pleas to supervise the winding down of the corporation and appoint a trustee or receiver to oversee the creation of a successor entity. The Supreme Court affirmed, holding that the facts established a causal link between the failure to observe corporate formalities and the congregation’s schism and the loss of charitable funds. View "State ex rel. DeWine v. Omar Ibn El Khattab Mosque, Inc." on Justia Law