SB 844 — Charitable organizations; creating the Safeguarding Endowment Gifts Act; prohibiting certain use of funds by charitable organizations under certain circumstances. Effective date.

“Endowment agreement” means a written agreement between a charitable organization and a donor regarding the contribution made by the donor and accepted by the charitable organization, which may include donor-imposed restrictions or other conditions governing the use of the contribution;

“Endowment agreement”fund” means aan writteninstitutional agreementfund, betweenas adefined charitablein organizationSection and300.12 aof donorTitle or60 betweenof a charitable trust and a donor regarding the contributionOklahoma madeStatutes, bythat, theunder donor and accepted by the charitableterms organizationof ora thegift charitableinstrument, trust,is whichnot maywholly includeexpendable donor-imposedby restrictions or other conditions governing the useinstitution ofon thea contribution;current basis.

6.

“Endowment fund” means an institutional fund or part thereof that, under the terms of a gift instrument, is not wholly expendable by the institution on a current basis.

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8.and 7.

“Legal representative” means the administrator or executor of a person’s estate, a surviving spouse if a court judgment has settled the accounts of the estate, or a person designated in an endowment agreement, whether or not born at the time of such designation, to act in place of a party to the agreement for all matters expressed in the agreement and all of the actions it contemplates, including, without limitation, interpreting, performing, enforcing, and defending the validity of the agreement;

and 9.

UnlessExcept otherwiseas specifiedauthorized by federal or state law,law or valid court order, no charitable organization that accepts a contribution pursuant to a written donor-imposed restriction may violate the terms of thatsuch restrictionrestriction. without penalty.

If1. a charitable organization violates a donor-imposed restriction contained in an endowment agreement, the donor, or that SENATE FLOOR VERSION - SB844 SFLR Page 3 (Bold face denotes Committee Amendments) person’s legal representative, ninety (90) days after notification to the charitable organization, may file a complaint within six (6) years after discovery for breach of such agreement.

TheIf complainta maycharitable beorganization filedviolates in a courtdonor-imposed ofrestriction generalcontained jurisdiction in an endowment agreement, the countydonor wheremay file a charitablecomplaint organizationwithin namedtwo as(2) ayears partyafter hasdiscovery itsof principalthe placeviolation of businesssuch forrestriction, carryingprovided outthat itsthe donor shall first notify the charitable activities,organization orand inthe aOffice courtof the Attorney General at least ninety (90) days prior to filing the complaint of the Uniteddonor’s Statesintent whoseto districtfile includesa suchcomplaint county.for the breach of the agreement.

The2. complaint may be filed regardless of whether the agreement expressly reserves a right to use or enforce and it shall not seek a judgment awarding damages to the plaintiff.

The complaint shall be filed in a court of general jurisdiction in the county where a charitable organization named as a party has its principal place of business for carrying out its ENGR.

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The complaint may be filed despite the endowment agreement lacking an express reservation of a right to enforce.

The complaint shall not seek a judgment awarding damages to the donor.

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Notification of any complaint filed under this section shall be provided immediately by the donor to the Office of the Attorney General.

In the event a charitable organization is unable to fulfill a term of an endowment agreement, the donororganization orshall donor’smake legalevery representativeeffort shallto benotify notifiedthe donor within thirtysix (30)(6) daysmonths inof advancesuch inability being identified by the organization and offeredoffer an alternative solution that closely matches the initial term in the endowment agreement.

A charitable organization may obtain a judicial declaration of rights and duties expressed in an endowment agreement containing donordonor-imposed restrictions as to all of the actions the agreement contemplates, including, without limitation, the interpretation, performance, and enforcement of the agreement and determination of its validity.

The charitable organization shallmay only seek such declaration in any suit broughtpursuant underto this section or by filing a complaint.separate action.

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If the court determines that a charitable organization violated a donor-imposed restriction in an endowment agreement, the court may order one or more remedies consistent with the charitable purposesENGR. expressed in the endowment agreement.

TheS. court shall not order the return of donated funds to the donor or the donor’s legal representative.

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844 Page 5 purposes expressed in the endowment agreement.

The court shall not order the return of donated funds to the donor.

Nothing in this act shall affect the authority of the Office of the Attorney General to enforce any restriction in an endowment agreement, limit the application of the judicial power of cy pres, or alter the right of an institution to modify a restriction on the management, investment,investment purpose, or use of an endowment fund in a manner permitted by the endowment agreement, by the Uniform Prudent Management of Institutional Funds Act, or by the Oklahoma Charitable Fiduciary Act.Act, the Oklahoma Uniform Trust Code, or other state law.

This act shall become effective November 1, 2025.2026.

COMMITTEEPassed REPORTthe BY:Senate the 26th day of March, 2026.

COMMITTEEPresiding ONOfficer RETIREMENTof ANDthe GOVERNMENTSenate RESOURCESPassed Marchthe 4,House 2025of -Representatives DOthe PASS____ ASday AMENDEDof SENATE__________, FLOOR2026. VERSION - SB844 SFLR Page 5 (Bold face denotes Committee Amendments)

Presiding Officer of the House of Representatives ENGR.

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