[Chapter-delegates] Follow-up on Chapters Advisory Council Meeting of 17 September 2024

Winthrop Yu w.yu at gmx.net
Tue Oct 8 07:35:00 PDT 2024


+1 Olivier and Judith

WYn

On 08/10/2024 9:45 PM, Judith Hellerstein via Chapter-delegates wrote:
> Hi Olivier and others,
> The Washington DC Chapter also support Olivier in this important endeavor
>
> Judith
> Sent from my iPad
> judith at jhellerstein.com
> Skype ID:JudithHellerstein
>
>> On Oct 8, 2024, at 8:47 AM, Olivier MJ Crépin-Leblond via Chapter-delegates 
>> <chapter-delegates at elists.isoc.org> wrote:
>>
>>  Dear Ilona,
>>
>> Further to our discussion two weeks ago regarding the definition of the 
>> relationship between the Internet Society and the Internet Society 
>> Foundation, in the absence of your response, I wish to reiterate the need for 
>> a clear outsourcing agreement between these entities. It is recognised as 
>> good business practice internationally to establish such agreements to 
>> delineate respective liabilities in the execution of these contracts.
>>
>> Responding to your note: "/All necessary legal documents, including 
>> agreements, have been put in place to respect the separate nature of the two 
>> organizations./"
>>
>> All I am asking is for them to be shared. If that is not possible, even in a 
>> redacted manner, for whatever reason, then please provide a list of the 
>> agreements to which you refer, including the date of the agreement, the name 
>> of the agreement, the signatory parties, and a brief description of each 
>> agreement.
>>
>> Looking forward to your prompt response.
>>
>> Kindest regards,
>>
>> Olivier Crépin-Leblond
>>
>>
>>
>> On 24/09/2024 17:22, Olivier MJ Crépin-Leblond wrote:
>>> Dear Ilona,
>>>
>>> Many thanks for your follow-up.
>>>
>>> The thread may not have come all through. During the Chapter Advisory 
>>> Council call, Ted mentioned the transfer of some responsibilities in 
>>> relation to Communications from the Internet Society to the Internet Society 
>>> Foundation. My initial question to Ted was in regards to the outsourcing 
>>> agreement as follows:
>>>
>>> /"I was previously unaware of this change. Although the Internet Society 
>>> Foundation may have been designated by the Internet Society as a "supporting 
>>> organisation" of the Internet Society, it remains a distinct and separate 
>>> legal entity. Therefore, I assume that any "outsourcing" of responsibilities 
>>> such as Marketing and/or Communications would be defined in a written 
>>> "contract for services" between the Parties setting out (inter-alia) the 
>>> terms, rights, and obligations of each Party. Could you please provide the 
>>> terms for such an agreement and any limitations therein?
>>> / /
>>> My principal concern lies in distinguishing between executing the 
>>> Communications Plan and drafting the Communications Plan. These are 
>>> fundamentally different tasks and would undoubtedly be included in the 
>>> "contract for services""./
>>>
>>> The top level responsibility of the strategy of the Internet Society remains 
>>> within the Internet Society. I find it surprising that an outsourcing entity 
>>> would be able to dictate that strategy without it being agreed by the 
>>> Internet Society itself.
>>> The Internet Society has the opportunity to outsource the execution of its 
>>> Communications Plan to a supporting organisation on the basis of terms and 
>>> conditions agreed between the parties. This requires outsourcing 
>>> agreement(s) in order to know where the boundaries and responsibilities are 
>>> between the two organisations, including their respective liabilities in the 
>>> execution of these agreement(s).
>>>
>>> For example:
>>>
>>>
>>>       Key Components of an Outsourcing Communications Agreement
>>>
>>> 1.
>>>
>>>     *Introduction and Definitions*:
>>>
>>>       * Clearly define the parties involved.
>>>       * Provide definitions for key terms used throughout the agreement.
>>> 2.
>>>
>>>     *Scope of Services*:
>>>
>>>       * Detail the specific services to be outsourced.
>>>       * Include service level agreements (SLAs) to set performance standards.
>>> 3.
>>>
>>>     *Term and Termination*:
>>>
>>>       * Specify the duration of the agreement.
>>>       * Outline conditions for termination by either party.
>>> 4.
>>>
>>>     *Pricing and Payment Terms*:
>>>
>>>       * Define the pricing structure and payment schedule.
>>>       * Include any penalties for late payments or performance failures.
>>> 5.
>>>
>>>     *Confidentiality and Data Protection*:
>>>
>>>       * Ensure compliance with data protection laws.
>>>       * Include confidentiality clauses to protect sensitive information.
>>> 6.
>>>
>>>     *Intellectual Property Rights*:
>>>
>>>       * Clarify the ownership of any intellectual property created during
>>>         the agreement.
>>> 7.
>>>
>>>     *Warranties and Liability*:
>>>
>>>       * Outline the warranties provided by the service provider.
>>>       * Define the liability limits for both parties.
>>> 8.
>>>
>>>     *Monitoring and Reporting*:
>>>
>>>       * Establish how performance will be monitored and reported.
>>>       * Include provisions for regular review meetings.
>>> 9.
>>>
>>>     *Dispute Resolution*:
>>>
>>>       * Specify the process for resolving disputes.
>>>       * Include mediation or arbitration clauses if applicable.
>>>10.
>>>
>>>     *Exit Management*:
>>>
>>>       * Plan for the transition of services back to the company or to
>>>         another provider.
>>>       * Include provisions for the transfer of data and assets.
>>>
>>>
>>>
>>> I trust that you mentioned: "All necessary legal documents, including 
>>> agreements, have been put in place to respect the separate nature of the two 
>>> organizations."
>>> Thus I would be interested in its details as explained in my email.
>>>
>>> Kindest regards,
>>>
>>> Olivier
>>>
>>>
>>> On 23/09/2024 18:36, Ilona Levine wrote:
>>>>
>>>> Dear Olivier,
>>>>
>>>> I understand that the nature of your request is to assist the Chapters 
>>>> Advisory Council and Chris Locke in preparation to his session on the 
>>>> communication plan. The agreement in place since 2018 between the 
>>>> Foundation and Internet Society focuses on the legal obligations in line 
>>>> with the Foundation's role as a 509(a)(3) and therefore, won’t be useful 
>>>> for that purpose.
>>>>
>>>> Best regards,
>>>>
>>>> Ilona
>>>>
>>>> *From: *Olivier MJ Crépin-Leblond <ocl at gih.com>
>>>> *Date: *Sunday, September 22, 2024 at 8:52 AM
>>>> *To: *Ilona Levine <levine at isoc.org>, Ted IETF <ted.ietf at gmail.com>
>>>> *Cc: *Chapter Delegates <Chapter-delegates at elists.isoc.org>, Sally 
>>>> Wentworth <wentworth at isoc.org>
>>>> *Subject: *Re: Follow-up on Chapters Advisory Council Meeting of 17 
>>>> September 2024
>>>>
>>>> Dear Ilona,
>>>>
>>>> thank you for clarifying that all necessary legal documents, including 
>>>> agreements, have been duly executed to respect the separate nature of the 
>>>> two organisations.
>>>>
>>>> I am aware of the publication of the original IETF Administration LLC 
>>>> agreements with the Internet Society, specifically:
>>>> IETF-ISOC Funding Agreement (2020) 
>>>> <https://www.ietf.org/media/documents/IETF_Funding_Agreement_-_Executed_-_20201123.pdf>
>>>> IETF-ISOC Funding Agreement Amendment (2020) 
>>>> <https://www.ietf.org/media/documents/IETF_ISOC_Funding_Amendment_Amendment_-_20201222.pdf>
>>>> IETF-ISOC Funding Agreement Amended and Restated (2024) 
>>>> <https://www.ietf.org/media/documents/ISOC-IETF_Amended_Funding_Agreement_-_20240103_-_Redacted_Executed.pdf>
>>>>
>>>> These documents are accessible on the IETF Administration LLC’s website at 
>>>> https://www.ietf.org/administration/overview/.
>>>>
>>>> Could you kindly confirm whether the agreements between the Foundation and 
>>>> the Internet Society are also publicly available? I have been unable to 
>>>> locate them on either website.
>>>>
>>>> I would appreciate it if you could provide a list of the agreements to 
>>>> which you refer, including the date of the agreement, the name of the 
>>>> agreement, the signatory parties, and a brief description of each agreement.
>>>>
>>>> I look forward to your kind response.
>>>>
>>>> Kindest regards,
>>>>
>>>> Olivier
>>>>
>>>> On 20/09/2024 19:48, Ilona Levine wrote:
>>>>
>>>>     Hi Olivier, thank you for your follow up email.  You noted that you are
>>>>     aware of the tax requirements that apply to supporting organizations. 
>>>>     Mainly, those requirements relate to supporting the mission of its
>>>>     supported entities.  In this case, the Internet Society.
>>>>
>>>>     As part of that support, the Foundation provides grants to other
>>>>     organizations that have missions consistent with the Internet Society’s
>>>>     in order to fund programs that further the Internet Society’s purposes.
>>>>     The Foundation also engages in activities that support Internet Society
>>>>     directly. For example, the Foundation engages in fundraising and
>>>>     communication activities for the benefit of the Internet Society.
>>>>
>>>>     As you also pointed out, the Foundation is a separate legal entity.  It
>>>>     is a controlled subsidiary of Internet Society.  All necessary legal
>>>>     documents, including agreements, have been put in place to respect the
>>>>     separate nature of the two organizations.
>>>>
>>>>     I trust this answers your question.
>>>>
>>>>     Best regards,
>>>>
>>>>     Ilona
>>>>
>>>>     *Ilona Levine,* SVP, General Counsel and Corporate Secretary
>>>>
>>>>     levine at isoc.org <mailto:levine at isoc.org>|
>>>>     internetsociety.org | @internetsociety
>>>>
>>>>     Donate today. <https://bit.ly/3nUsQmJ>
>>>>
>>>>     *Help protect the Internet for everyone.*
>>>>
>>>>     <image001.png>
>>>>
>>>>     This communication is the property of the Internet Society and may
>>>>     contain confidential or privileged information. Unauthorized use of
>>>>     this communication is strictly prohibited.  If you have received it in
>>>>     error, please notify the sender by reply e-mail and destroy all copies
>>>>     of the communication and any attachments.
>>>>
>>>>     *From: *Olivier MJ Crépin-Leblond <ocl at gih.com> <mailto:ocl at gih.com>
>>>>     *Date: *Friday, September 20, 2024 at 11:38 AM
>>>>     *To: *Ted IETF <ted.ietf at gmail.com> <mailto:ted.ietf at gmail.com>, Ilona
>>>>     Levine <levine at isoc.org> <mailto:levine at isoc.org>
>>>>     *Cc: *Chapter Delegates <Chapter-delegates at elists.isoc.org>
>>>>     <mailto:Chapter-delegates at elists.isoc.org>, Sally Wentworth
>>>>     <wentworth at isoc.org> <mailto:wentworth at isoc.org>
>>>>     *Subject: *Re: Follow-up on Chapters Advisory Council Meeting of 17
>>>>     September 2024
>>>>
>>>>     Dear Ted,
>>>>
>>>>     thank you for your follow-up on this matter. I am aware of the special
>>>>     tax terms in relation to "supporting organisations".
>>>>
>>>>     That being said, the Internet Society Foundation is a distinct and
>>>>     separate legal entity to the Internet Society, irrespective of the
>>>>     relationship between them. As a result, any outsourcing task undertaken
>>>>     by one, for the other entity, would be defined in a contract, whether
>>>>     written, verbal or otherwise. If not, there is a lack of clarity and
>>>>     expectations about the relationship, which brings potential liability
>>>>     and risk that both entities are subjected to, in relation to the
>>>>     other's actions. Any lawyer would tell you that it is highly advisable
>>>>     to have a written contract, if only for legal protection.
>>>>
>>>>     Thanks for letting me know that you are travelling. I am copying
>>>>     President and CEO Sally Wentworth in case you're unavailable for a
>>>>     length of time.
>>>>
>>>>     Kindest regards,
>>>>
>>>>     Olivier
>>>>
>>>>     On 20/09/2024 13:12, Ted Hardie wrote:
>>>>
>>>>         Hi Olivier,
>>>>
>>>>         A supporting organization is a term of art in US tax law, please see:
>>>>
>>>>         https://www.irs.gov/charities-non-profits/charitable-organizations/supporting-organizations-requirements-and-types
>>>>
>>>>         and
>>>>
>>>>         https://www.irs.gov/charities-non-profits/section-509a3-supporting-organizations
>>>>
>>>>         Explaining how the two relate is complicated enough that there are
>>>>         legal briefs on it; I have cc'ed the Society's chief counsel in
>>>>         case you would like that level of detail.  The summary, however, is
>>>>         that a supporting organization is a charity because it supports the
>>>>         charitable purpose of the main organization.  As a result, it can
>>>>         provide services to the main organization under the special tax
>>>>         rules noted above.
>>>>
>>>>         Note that I am traveling and will generally be slow to respond for
>>>>         a few days, but hopefully the links above will get you started and
>>>>         Ilona can provide more detailed legal information as needed.
>>>>
>>>>         regards,
>>>>
>>>>         Ted Hardie
>>>>
>>>>         On Fri, Sep 20, 2024 at 6:24 AM Olivier MJ Crépin-Leblond
>>>>         <ocl at gih.com> wrote:
>>>>
>>>>             Dear Ted,
>>>>
>>>>
>>>>             During this week’s Chapters Advisory Council call, you
>>>>             mentioned that the Internet Society Foundation, as a
>>>>             "supporting organisation" of the Internet Society, is managing
>>>>             the communications department for the Internet Society.
>>>>
>>>>             Upon seeking clarification, you explained that the Internet
>>>>             Society Foundation comprises two elements: one philanthropic
>>>>             (grant-making) and the other as a "supporting organisation" of
>>>>             the Internet Society. "This implies that many of the supporting
>>>>             functions for the Internet Society as a whole are now part of
>>>>             the Foundation, primarily because the Foundation can provide
>>>>             these services to the Internet Society at no cost".
>>>>
>>>>             You further elaborated that this "arrangement" allows the
>>>>             Internet Society to allocate its budget more effectively.
>>>>
>>>>             I was previously unaware of this change. Although the Internet
>>>>             Society Foundation may have been designated by the Internet
>>>>             Society as a "supporting organisation" of the Internet Society,
>>>>             it remains a distinct and separate legal entity. Therefore, I
>>>>             assume that any "outsourcing" of responsibilities such as
>>>>             Marketing and/or Communications would be defined in a written
>>>>             "contract for services" between the Parties setting out
>>>>             (inter-alia) the terms, rights, and obligations of each Party.
>>>>             Could you please provide the terms for such an agreement and
>>>>             any limitations therein?
>>>>
>>>>             My principal concern lies in distinguishing between executing
>>>>             the Communications Plan and drafting the Communications Plan.
>>>>             These are fundamentally different tasks and would undoubtedly
>>>>             be included in the "contract for services".
>>>>
>>>>             The "contract for services" (together with any relevant
>>>>             supporting information) will be helpful input for both the
>>>>             Chapters Advisory Council and also for Chris Locke and his Team
>>>>             (including for the current "branding" presentations) in
>>>>             preparation for the promised session from Chris Locke to the
>>>>             Chapters Advisory Council.
>>>>
>>>>             I look forward to your response and to receiving a copy of the
>>>>             "contract for services" agreement, together with any relevant
>>>>             supporting information as requested above.
>>>>
>>>>             Kindest regards,
>>>>
>>>>             Olivier
>>>>
>> _______________________________________________
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