Conflict of Interest Policy

Matt Brooks | Approved on: Nov 13, 2024

Purpose: 

The Conflict of Interest Policy is designed to help board members, officers, and employees of Esperanto-USA identify situations that present potential conflicts of interest and to provide a process for addressing such conflicts.

Policy:

1. Definition of Conflict of Interest:
   1. A conflict of interest arises when an individual’s personal interests interfere, or appear to interfere, with the interests of Esperanto-USA. This includes financial interests or affiliations with vendors, donors, or other non-profits.
2. Duty to Disclose:
   1. Board members, officers, and employees must disclose any personal (friends, acquaintances, non-legal “family”), financial (stake or ownership in a business), or familial (in any way considered part of one’s legal family) interest in a transaction, contract, or other decision involving Esperanto-USA.
      1. Example: if board member A is recommending that her friend, relative, acquaintance, or own business be used to perform printing services for “Usona Esperantisto”, the board member would need to disclose that there is a relationship between them and the 3rd party and they would have to recuse themselves from voting on using the service. 
      2. Example: the CO of E-USA needs an accountant to perform tax services. Her niece just graduated from college with an accounting degree and would like to perform the service. The CO should remit the decision to the Board, explain that there is a familial relationship between the CO and the niece, and defer to the Board’s decision on whether or not to allow the niece to perform that service.
3. Recusal from Decision-Making:
   1. Individuals with a conflict of interest shall not participate in discussions or votes related to the matter in which they have an interest.
4. Annual Statements:
   1. All board members, officers, and key employees will annually complete a disclosure form identifying any potential conflicts of interest.
5. Violations of the Policy:
   1. If the board of Esperanto-USA determines that a conflict of interest was not disclosed or handled appropriately, it may take disciplinary action, including removal from the Board or termination of employment.