On March 1, the Ninth Circuit Court of Appeals granted a petition for an en banc rehearing of the case entitled James Huntsman v. Corporation of the President of the Church of Jesus Christ of Latter-Day Saints, marking a significant win for Larson client, the Church of Jesus Christ of Latter-Day Saints (“LDS Church”).
The court’s rare grant of a rehearing petition arises from a lawsuit in which a prominent member of the LDS Church claimed the Church misused funds, alleging fraud and seeking the return of millions of dollars of his voluntary contributions. A U.S. District Court dismissed the case in September 2021, but in a 2-1 split decision, a three-judge panel of the Ninth Circuit overturned the lower court’s ruling in August 2023. Larson then filed the petition for a rehearing on behalf of the LDS Church in September 2023.
This case could have national implications on how religious organizations use the voluntary contributions they receive from their members, and could impact how educational institutions and non-profits solicit voluntary contributions and invest some of those contributions for future use.
“We are pleased with the Ninth Circuit’s decision to rehear this important case and we look forward to arguing on behalf of our client before the en banc panel,” said Larson partner Rick Richmond who is lead trial counsel for The Church of Jesus Christ of Latter-Day Saints alongside associate Andrew Calderón. Clement & Murphy partner Paul Clement is co-counsel with Mr. Richmond and lead counsel on the appeal.
Read the full article by Sunidhi Sridhar in the Daily Journal here (subscription required). The petition for rehearing has been covered by numerous publications including:
