by Structured Settlement Watchdog
The decision of a settlement planning or structured settlement trade group to buddy up with factoring companies that practically shout their services to strucured settlement recipients really makes pause—likely with one eyebrow raised and a steaming cup coffee serving as my silent witness.
Should professional trade associations disclose their funding sources? Is it a responsibility to inform? I believe the answer is "yes" in this case, but I'm curious to hear how others view this.
A key consideration influencing an individual or group's decision to or retain membership in a trade association is perceived value it their personal and professional development.
Those benefits to potential members might include:
- networking opportunities,
- continuing professional education ("CPE" or "CE") credits and association sponsored professional certification programs,
- pooling resources to achieve political objectives (such as passing a new law favorable to trade association members or defending against a proposed new law which could hurt trade association members); and perhaps
- affinity discounts on services for members (courses, car rental, airfare, insurance, office supplies) and other benefits.
Are There Consequences to Professional Trade Associations Concealing Funding Sources?
Arguably the first question is whether such contributions should be accepted at all? If they do accept contributions, an association that fails to disclose its funding sources and sponsors, particularly those that may perceived by potential members or the public as controversial or contradictory to the primary purpose of the industry, does a disservice to its professional members. Such a material omission could inadvertently result in members becoming targets of "guilt by association" (pun intended). Furthermore, it is hard to imagine anyone considering membership in a professional association to appear in a negative light over a fundraising issue. Therefore, it is essential that such considerations be addressed prior to accepting applications from prospective members.
Leave a Reply