IC 23-7-8
    Chapter 8. Professional Fundraiser Consultant and SolicitorRegistration

IC 23-7-8-1
Definitions
    Sec. 1. As used in this chapter:
    "Bona fide employee" means a person who is a regular,nontemporary employee of a charitable organization under the directand exclusive control of the organization. The term does not includea person that:
        (1) solicits contributions for a charitable organization under thedirection, supervision, instruction, or employ of a professionalsolicitor;
        (2) is engaged or employed as a professional solicitor by anyother person; or
        (3) solicits contributions for more than one (1) charitableorganization.
    "Charitable organization" means any organization described inSection 501 of the federal Internal Revenue Code.
    "Contribution" means a promise or pledge of money, a payment,or any other rendition of property or service. It does not include thepayment of membership dues, fines or assessments, or payments forproperty sold or services rendered by the charitable organization, ifnot sold or rendered in connection with a solicitation, and does notinclude a charitable organization that resells used clothing orhousehold items.
    "Division" means the consumer protection division, office of theattorney general.
    "Person" includes any individual, organization, trust foundation,association, partnership, limited liability company, or corporation.
    "Professional fundraiser consultant" means any person who ishired for a fee to plan, manage, advise, or act as a consultant inconnection with soliciting contributions for, or on behalf of, acharitable organization, but who does not actually solicitcontributions as a part of the person's services or employ, procure, orengage a compensated person to solicit contributions. The term doesnot include a charitable organization, or a bona fide officer,employee, member, or volunteer of a charitable organization, thatsolicits on its own behalf.
    "Professional solicitor" means a person who, for a financialconsideration, solicits contributions for, or on behalf of, a charitableorganization, either personally or through agents or employeesspecifically employed for that purpose, including agents oremployees specifically employed by or for a charitable organizationwho solicit contributions under the direction, supervision, orinstruction of a professional solicitor. The term does not include acharitable organization, or an officer, a bona fide employee, or avolunteer of a charitable organization, that solicits on its own behalf.
    "Solicit" means:        (1) to request, other than as described in subdivision (2),directly or indirectly, financial assistance in any form on therepresentation that the financial assistance will be used for acharitable purpose; or
        (2) to sell, offer, or attempt to sell any advertisement,advertising space, membership, or tangible item:
            (A) in connection with which any appeal is made for anycharitable organization or purpose;
            (B) where the name of any charitable organization is used orreferred to in any appeal made for any charitableorganization as an inducement or reason for making a saledescribed in this subdivision; or
            (C) when or where in connection with a sale described inthis subdivision any statement is made that the whole or anypart of the proceeds from the sale will be used for anycharitable purpose or benefit any charitable organization.
A solicitation shall be considered to have taken place whether or notthe person making the solicitation receives any contribution.
As added by P.L.245-1983, SEC.1. Amended by P.L.12-1986, SEC.2;P.L.248-1987, SEC.1; P.L.24-1989, SEC.2; P.L.8-1993, SEC.319;P.L.135-1999, SEC.7; P.L.245-2005, SEC.1.

IC 23-7-8-2
Registration; required disclosure of information; term; renewal;contract; notice
    Sec. 2. (a) A person may not act as a professional fundraiserconsultant or professional solicitor for a charitable organizationunless the person has first registered with the division. A person whoapplies for registration shall disclose the following information whileunder oath:
        (1) The names and addresses of all officers, employees, andagents who are actively involved in fundraising or relatedactivities.
        (2) The names and addresses of all persons who own a tenpercent (10%) or more interest in the registrant.
        (3) A description of any other business related to fundraisingconducted by the registrant or any person who owns ten percent(10%) or more interest.
        (4) The name or names under which it intends to solicitcontributions.
        (5) Whether the organization has ever had its registrationdenied, suspended, revoked, or enjoined by any court or othergovernmental authority.
    (b) A registrant shall notify the division in writing within onehundred eighty (180) days of any change in the informationcontained in the registration. However, if requested by the division,the solicitor has fifteen (15) days to notify the division of any changein the information.
    (c) Before acting as a professional fundraiser consultant for aparticular charitable organization, the consultant must enter into a

written contract with the organization and file this contract with thedivision. The contract must identify the services that the professionalfundraiser consultant is to provide, including whether theprofessional fundraiser consultant will at any time have custody ofcontributions.
    (d) Before a professional solicitor engages in a solicitation, theprofessional solicitor must have a contract which is filed with thedivision. This contract must specify the percentage of grosscontributions which the charitable organization will receive or theterms upon which a determination can be made as to the amount ofthe gross revenue from the solicitation campaign that the charitableorganization will receive. The amount of gross revenue from thesolicitation campaign that the charitable organization will receivemust be expressed as a fixed percentage of the gross revenue orexpressed as a reasonable estimate of the percentage of the grossrevenue. If a reasonable estimate is used, the contract must clearlydisclose the assumptions or a formula upon which the estimate isbased. If a fixed percentage is used, the percentage must exclude anyamount that the charitable organization is to pay as expenses of thesolicitation campaign, including the cost of the merchandise orservices sold. If requested by the charitable organization, the personwho solicits must at the conclusion of a charitable appeal provide tothe charitable organization a final accounting of all expenditures.The final accounting may not be used in violation of any trade secretlaws. The contract must disclose the average percentage of grosscontributions collected on behalf of charitable organizations that thecharitable organizations received from the professional solicitor forthe three (3) years preceding the year in which the contract is formed.The contract also must specify that, at least every ninety (90) days,the professional solicitor shall provide the charitable organizationwith access to and use of information concerning contributors,including the name, address, and telephone number of eachcontributor and the date and amount of each contribution. Aprofessional solicitor may not restrict a charitable organization's useof contributor information.
    (e) Before beginning a solicitation campaign, a professionalsolicitor must file a solicitation notice with the division. The noticemust include the following:
        (1) A copy of the contract described in subsection (d).
        (2) The projected dates when soliciting will begin and end.
        (3) The location and telephone number from where solicitationwill be conducted.
        (4) The name and residence address of each person responsiblefor directing and supervising the conduct of the campaign.However, the division shall not divulge the residence addressunless ordered to do so by a court of competent jurisdiction, orin furtherance of the prosecution of a violation under thischapter.
        (5) If the solicitation is one described under section 7(a)(3) ofthis chapter, the solicitation notice must include a copy of the

required written authorization.
    (f) Not later than ninety (90) days after a solicitation campaignhas ended and not later than ninety (90) days after the anniversary ofthe commencement of a solicitation campaign lasting more than one(1) year, a professional solicitor shall submit the followinginformation concerning the campaign to the division:
        (1) The total gross amount of money raised by the professionalsolicitor and the charitable organization from donors.
        (2) The total amount of money paid to or retained by theprofessional solicitor.
        (3) The total amount of money, not including the amountidentified under subdivision (2), paid by the charitableorganization as expenses as part of the solicitation campaign.
        (4) The total amount of money paid to or retained by thecharitable organization after the amounts identified undersubdivisions (2) and (3) are deducted.
The division may deny or revoke the registration of a professionalsolicitor who fails to comply with this subsection.
    (g) The charitable organization on whose behalf the professionalsolicitor is acting must certify that the information filed undersubsections (e) and (f) is true and complete to the best of itsknowledge.
    (h) At the beginning of each solicitation call, a professionalfundraiser consultant and a professional solicitor must state all of thefollowing:
        (1) The name of the company for whom the professionalfundraiser consultant or professional solicitor is calling.
        (2) The name of the professional fundraiser consultant orprofessional solicitor.
        (3) The phone number and address of the location from whichthe professional fundraiser consultant or professional solicitoris making the telephone call.
        (4) The percentage of the charitable contribution that will beexpended for charitable purposes after administrative costs andthe costs of making the solicitation have been satisfied.
    (i) At least every ninety (90) days, a professional solicitor shallprovide each charitable organization on whose behalf theprofessional solicitor is acting with access to and use of informationconcerning contributors, including the name, address, and telephonenumber of each contributor and the date and amount of eachcontribution. A professional solicitor may not restrict a charitableorganization's use of information provided under this subsection.
As added by P.L.245-1983, SEC.1. Amended by P.L.248-1987,SEC.2; P.L.24-1989, SEC.3; P.L.48-1998, SEC.1; P.L.135-1999,SEC.8; P.L.155-2003, SEC.1; P.L.97-2004, SEC.86; P.L.245-2005,SEC.2.

IC 23-7-8-3
Public records; inspection
    Sec. 3. All registration statements and information required to be

filed under this chapter with the division, are public records. Thedivision shall maintain these records for at least two (2) years, andshall make them available to the general public for inspection andphotocopying for a charge, during the normal business hours.
As added by P.L.245-1983, SEC.1.

IC 23-7-8-4
Registration fees; disposition; update to registration
    Sec. 4. (a) A professional fundraiser consultant or professionalsolicitor who applies for registration shall pay a fee of one thousanddollars ($1,000). A partnership, limited liability company,corporation, or other entity that intends to act as a professionalfundraiser consultant, or professional solicitor, may register for andpay a single registration fee of one thousand dollars ($1,000) onbehalf of its members, officers, agents, and employees.
    (b) The fees collected shall be used, in addition to fundsappropriated by the general assembly, for the administration of thischapter.
    (c) Before July 2 of each year, a professional fundraiserconsultant or professional solicitor registered under this chapter mustfile an update to the registration. A renewal fee of fifty dollars ($50)must accompany this update.
As added by P.L.245-1983, SEC.1. Amended by P.L.24-1989, SEC.4;P.L.8-1993, SEC.320; P.L.48-1998, SEC.2.

IC 23-7-8-5
Accurate fiscal records; requirement
    Sec. 5. (a) Every professional fundraiser consultant andprofessional solicitor required to register under this chapter shallkeep accurate fiscal records regarding its activities in Indiana. Aprofessional fundraiser consultant or professional solicitor shallretain the records for at least three (3) years after the end of theperiod of registration to which they relate.
    (b) Records maintained under subsection (a) shall be madeavailable for inspection and copying by the division upon oral orwritten request of the division at any time during the normal businesshours of the professional fundraiser consultant or professionalsolicitor.
As added by P.L.245-1983, SEC.1. Amended by P.L.24-1989, SEC.5;P.L.48-1998, SEC.3.

IC 23-7-8-6
Required disclosures at time of solicitation; written confirmation
    Sec. 6. (a) A professional solicitor subject to registration underthis chapter or a person who is employed to solicit or act on behalfof a professional solicitor subject to registration under this chaptershall disclose at the time of the solicitation and before the donoragrees to make a contribution:
        (1) the name and, upon request, the address of the charitableorganization that is being represented;        (2) the fact that the person soliciting the contribution is, or isemployed by, a professional solicitor, and the fact that theprofessional solicitor is compensated;
        (3) the full name of the professional solicitor and, upon request,the telephone number the person being solicited can call toconfirm the information provided under this section; and
        (4) the charitable purpose for which the funds are being raised.
    (b) If a person solicits in writing or in person, the disclosuresrequired by subsection (a)(1) and (a)(2) shall be in writing. If aperson solicits by telephone, the disclosures required by subsection(a)(1) and (a)(2) shall be made orally.
    (c) A written confirmation shall be mailed within ten (10) daysafter each solicitation in which a contribution has been given. Thisconfirmation must include the disclosures required under subsection(a)(1) and (a)(2).
    (d) All disclosures required by this section must be clear andconspicuous.
    (e) A contributor has the right to cancel a pledge for monetarycontribution at any time prior to making the contribution.
As added by P.L.245-1983, SEC.1. Amended by P.L.248-1987,SEC.3; P.L.24-1989, SEC.6; P.L.48-1998, SEC.4.

IC 23-7-8-7
Prohibited acts
    Sec. 7. (a) A person who solicits charitable contributions may not:
        (1) use the fact of registration as an endorsement by the state;
        (2) misrepresent that the person is an officer or employee of apublic safety agency;
        (3) use the name "police", "law enforcement", "trooper","rescue squad", "firemen", or "firefighter" unless a bona fidepolice, law enforcement, rescue squad, or fire departmentauthorizes its use in writing;
        (4) misrepresent to anyone that the contribution will be used fora charitable purpose if the person has reason to believe thecontribution will not be used for a charitable purpose;
        (5) misrepresent to anyone that another person endorses thesolicitation unless that person has consented in writing to theuse of the person's name for the purpose of endorsing thesolicitation;
        (6) misrepresent to anyone that the contribution is solicited onbehalf of anyone other than the charitable organization thatauthorized the solicitation; or
        (7) collect or attempt to collect a contribution in person or bymeans of a courier unless:
            (A) the solicitation is made in person and the collection orattempt to collect is made at the time of the solicitation; or
            (B) the contributor has agreed to purchase goods or items inconnection with the solicitation, and the collection orattempt to collect is made at the time of delivery of thegoods or items.    (b) A person who solicits charitable contributions shall notrepresent that tickets to events will be donated for use by another,unless the following requirements have been met:
        (1) The paid solicitor has commitments, in writing, fromcharitable organizations stating that they will accept donatedtickets and specifying the number of tickets they are willing toaccept.
        (2) No more contributions for donated tickets are solicited thanthe number of ticket commitments received from charitableorganizations.
As added by P.L.245-1983, SEC.1. Amended by P.L.248-1987,SEC.4; P.L.24-1989, SEC.7; P.L.48-1998, SEC.5; P.L.155-2003,SEC.2.

IC 23-7-8-8
Complaints; injunctive relief; violations; fines
    Sec. 8. (a) The division may receive, investigate, and prosecutecomplaints concerning the activities of professional fundraiserconsultants and professional solicitors who:
        (1) may be subject to this chapter; or
        (2) have or may have violated this chapter.
All complaints must be in writing, signed by the complainant, andfiled with the division.
    (b) The attorney general may subpoena witnesses, send for andcompel the production of books, records, papers, and documents ofprofessional fundraiser consultants and professional solicitors whoare subject to registration under this chapter, for the furtherance ofany investigation under this chapter. The circuit or superior courtlocated in the county where the subpoena is to be issued shall enforceany such subpoena by the attorney general.
    (c) The attorney general may bring an action to enjoin a violationof this chapter. In this action, the court may order a person who hasviolated this chapter to pay the reasonable costs of investigation andprosecution incurred by the attorney general, may award the statecivil penalties up to five hundred dollars ($500) for each violation,and may order the professional fundraiser consultant or professionalsolicitor to repay money unlawfully received from aggrievedsolicitees. In ordering injunctive relief, the division is not required toestablish irreparable harm but only a violation of a statute or that therequested order promotes the public interest. It is an affirmativedefense to the assessment of civil penalties under this subsection thatthe defendant acted pursuant to a good faith misunderstandingconcerning the requirements of this chapter.
    (d) A person who knowingly or intentionally:
        (1) fails to file a registration statement or other information;
        (2) files a statement or other information which is materiallyfalse; or
        (3) fails to make a disclosure;
as required by this chapter, commits a Class B misdemeanor.However, the offense is a Class A misdemeanor if the person has a

previous unrelated conviction under this subsection.
    (e) A local unit of government may adopt an ordinance whichregulates professional fundraisers and solicitors if the ordinance doesnot conflict with this chapter.
    (f) A professional fundraiser consultant, or a professionalsolicitor, who has the person's principal place of business outside ofIndiana, or who has organized under the laws of another state, andwho solicits contributions from persons in Indiana, is subject to thischapter and shall be considered to have appointed the secretary ofstate as his agent. All service of process under this subsection shallbe made on the secretary of state under Rule 4.10 of the IndianaRules of Trial Procedure.
    (g) Under rules adopted by the attorney general, the attorneygeneral may impose fines on professional fundraiser consultants andprofessional solicitors for the late filing of information required to befiled under this chapter.
As added by P.L.245-1983, SEC.1. Amended by P.L.248-1987,SEC.5; P.L.24-1989, SEC.8; P.L.1-1998, SEC.128; P.L.48-1998,SEC.6; P.L.135-1999, SEC.9.

IC 23-7-8-9
Assurance of voluntary compliance; form; filing
    Sec. 9. (a) In the administration of this chapter, the attorneygeneral may accept an assurance of voluntary compliance withrespect to any violation of this chapter. The assurance of voluntarycompliance may include any of the following:
        (1) Stipulation for the voluntary payment by the person of thecosts of investigation.
        (2) Payment of an amount to be held in escrow pending theoutcome of an action or as restitution to aggrieved persons.
The assurance of voluntary compliance must be in writing. It must befiled with the court having jurisdiction over the violation and issubject to the court's approval.
    (b) The giving of an assurance of voluntary compliance under thissection is not, for any purpose, considered an admission of asolicitation or failure to register in violation of this chapter.However, any violation of the terms of the assurance constitutesprima facie evidence of a violation of this chapter. An investigationor court action terminated on the basis of the giving of an assuranceof compliance under this section may be reopened by the attorneygeneral at any time for further proceedings that are in the publicinterest.
As added by P.L.12-1986, SEC.3. Amended by P.L.24-1989, SEC.9.