In a significant development, the Charleston School of Law in South Carolina, USA has received the green light from the American Bar Association (ABA) for its bid to transition from a for-profit to a not-for-profit collegiate institution. The announcement was made on March 7, 2024, by J. Edward Bell III, the President of the law school.
According to the announcement, the ABA’s Council on Legal Education and Admission to the Bar has acquiesced to the Law School’s quest to transform into a non-profit entity. The Council’s role is vital in such modifications as it is tasked with accrediting law schools and approves any substantive transformations including changes in control or ownership.
Larry Cunningham, the Provost of the Charleston School of Law and also serving as its Dean and Professor of Law, clarified that the approval from the ABA takes effect immediately, with certain conditions. These include further approvals from the South Carolina Commission on Higher Education and the U.S. Department of Education.
The Charleston School of Law intends to file an application for a license with the Commission on Higher Education next. The institution will subsequently initiate the process of attaining approval from the U.S. Department of Education. The transition to a non-profit status would entail the present owners of the law school donating the entire school to an existing non-profit organization, the Charleston School of Law Foundation Inc. Notably, the owners have committed to not receiving any monetary gains from this transaction.
The conversion to a non-profit model was an initiative that the law school embarked on in October of last year. The decisive approval from the ABA follows presentations and arguments presented by Cunningham in February, substantiating the proposed transformation.
J. Edward Bell III expressed his delight at the development and acknowledged the hard work of everyone at the law school. He underlined the criticality of transitioning into a non-profit model for the sustained welfare of the community.
In his statement, Cunningham also termed the step as an important milestone in the history of the law school. He believes that the conversion will serve the best interests of the diverse stakeholders of the law school including the students, alumni, faculty, staff, and the community. He further emphasized on demonstrating to other regulators, including the CHE and USDE, how the conversion would strengthen the law school.
The Charleston School of Law, established as a private law school in 2002 by a group of lawyers and judges, has been instrumental in shaping the legal education landscape in South Carolina. It welcomes its first batch of 133 full-time and 64 part-time students in 2004.
However, a potential crisis loomed when the owners of the school contemplated selling it to InfiLaw, a Florida-based for-profit company in 2013. The potential acquisition led to significant pushback from students, faculty members, and alumni who expressed fear over the law school’s reputation being affected. The turning point occurred in 2015 when Bell took over as the president and bought into the school to salvage it from being sold to InfiLaw.
With this awaited transition into a non-profit status, Charleston School of Law anticipates gains in its academic reputation and increased prospects for fundraising due to the tax advantages offered to donors contributing to a non-profit school.
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