Girl Scouts of Manitou Council Inc. v. Girl Scouts of the United States of America Inc.

700 F. Supp. 2d 1055, 2010 U.S. Dist. LEXIS 32501, 2010 WL 1241275
CourtDistrict Court, E.D. Wisconsin
DecidedMarch 31, 2010
Docket2:08-cr-00184
StatusPublished
Cited by1 cases

This text of 700 F. Supp. 2d 1055 (Girl Scouts of Manitou Council Inc. v. Girl Scouts of the United States of America Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Girl Scouts of Manitou Council Inc. v. Girl Scouts of the United States of America Inc., 700 F. Supp. 2d 1055, 2010 U.S. Dist. LEXIS 32501, 2010 WL 1241275 (E.D. Wis. 2010).

Opinion

*1058 ORDER

J.P. STADTMUE LLE R, District Judge.

The Girl Scout Law is a pledge ritualistieally recited and “shared by every member” of the Girl Scouts of the United States of America (“Girl Scouts” or “GSU-SA”), the defendant in this action. See Girl Scouts of the United States of America, Girl Scout Promise and Law, http: //www.girlscouts.org/program/gs_central/ promise_law/(last visited March 31, 2010). The Girl Scout Law, described by the GSUSA as the “credo of girl scouting,” entails the ten tenets each scout must strive to fulfill in their daily lives. Id. In relevant part, the Girl Scout Law requires that every member must do their “best to be honest and fair.” Id. The plaintiff, Girl Scouts of Manitou Council, Inc. (“Manitou”), an organization that provides Girl Scouting to seven counties in eastern Wisconsin, contends that the national organization of the Girl Scouts has not been loyal to the terms of its own Law, in that the GSUSA has not been “honest and fair” in its dealings with the Manitou Council. Specifically, Manitou argues that GSUSA, acting pursuant to a national strategy that would eventually merge the council into a larger regional council, has violated the Wisconsin Fair Dealership Law (“WFDL”), Wis. Stat. § 135.01, breached the terms of the charter that created the council, and committed several related torts. (Docket # 120). After extensive discovery, on August 31, 2009, GSUSA, asserting that there were no genuine issues of material fact necessitating a trial in this case, moved pursuant to Fed.R.Civ.P. 56 for a summary judgment in its favor on all counts of Manitou’s Second Amended Complaint (“complaint”). (Docket # 134). On that same day, Manitou moved for summary judgment in its favor on the breach of contract claim and the WFDL claim. (Docket # 141). After reviewing the voluminous record, consisting of hundreds of pages submitted by each party, and consulting the relevant law, the court is now prepared to make a ruling on the parties’ cross-motions for summary judgment.

BACKGROUND

The court begins with an admittedly detailed, but necessary recounting of the undisputed facts animating the current litigation. 1

A. The Girl Scouts of the United States of America

Juliette Gordon Low founded the Girl Scouts on March 12, 1912, in Savannah, Georgia. From humble beginnings as a troop of eighteen girls, the Girl Scout movement has expanded rapidly, such that today hundreds of thousands of adult volunteers are helping nearly three million girl members participate in the organization throughout the United States and in more than ninety countries around the world. The organization has influenced the lives of more than forty million women since its inception and boasts alumni from all facets of American life, including, among other notables, Sandra Day O’Con-nor, Hilary Clinton, Lucille Ball, and Katie *1059 Couric. Currently headquartered in New York City, GSUSA reported in Fiscal Year 2008 revenues exceeding seventy million dollars derived from membership dues, donations, and the sales of Girl Scout merchandise. 2

In 1950, Congress incorporated the organization as the “Girl Scouts of the United States of America” in order to promote the qualities of “truth, loyalty, helpfulness, friendliness, courtesy, purity, kindness, obedience, cheerfulness, thriftiness, and kindred virtues among girls.” 36 U.S.C. § 80302. The self-espoused purpose of the Girl Scout movement is to “inspir[e] girls with the highest ideals of character, conduct, patriotism, and service that they may become happy and resourceful citizens.” See Girl Scout Constitution, Preamble. Of particular note for this case, GSUSA has espoused as a central tenet of the organization that Girl Scout membership be “reflective of the pluralistic nature” of the populace and that membership should be “extended to all girls in all population segments and geographic areas.” See GSU-SA, Blue Book of Basic Documents 2006, at 21.

According to the GSUSA’s congressional charter, the organization is headed by a National Council of Girl Scouts (“National Council”), which includes delegates from every local Girl Scout council and is empowered to adopt and amend a constitution, create bylaws, and elect a board of directors for the organization. 36 U.S.C. § 80303. Accordingly, the National Council created a constitution (“Girl Scout Constitution”) for the organization in November of 1957. The National Council has since amended the Girl Scout Constitution ten times.

The current manifestation of the Girl Scout Constitution outlines the basic means by which Girl Scouting is provided throughout the country. Specifically, Article VII of the Girl Scout Constitution states that “local Girl Scout councils shall be organized to further the development of the Girl Scout Movement in the United States; to establish local responsibility for leadership, administration, and supervision of the program; and to develop, manage, and maintain Girl Scouting in accordance with the terms of their charters.” The Girl Scout Constitution further authorizes the National Council to establish requirements that an organization must comply with in order to become an official Girl Scout council. 3 GSUSA Const, art. VIII, § 2. In turn, the National Board of Directors (“National Board”), a body authorized by Article X of the Girl Scout Constitution to “manage the affairs” of the GSUSA, 4 is broadly empowered to issue credentials to a given council and revoke such credentials when “the terms and conditions [of the credentials] or requirements ... are being violated or when the best interests of Girl Scouting are not *1060 being furthered.” GSUSA Const, art. VIII, § 3.

The net result is that the GSUSA, much like other charities and businesses, operates as a federation, carrying out its goals through individual councils, separate legal entities who are empowered to act through a “charter” granted by the national organization for a nominal fee. 5 The charter outlines each council’s rights, duties, and obligations, which are derived, in part, from the GSUSA’s official bylaws, policies, and other guidelines as contained in the Blue Book of Basic Documents {“Blue Book ”). 6 In relevant part, the credentials section of the Blue Book outlines both the requirements that a potential Girl Scout council must comply with to receive and retain a charter and the obligations a Girl Scout council assumes in accepting a charter. See GSUSA,

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Cite This Page — Counsel Stack

Bluebook (online)
700 F. Supp. 2d 1055, 2010 U.S. Dist. LEXIS 32501, 2010 WL 1241275, Counsel Stack Legal Research, https://law.counselstack.com/opinion/girl-scouts-of-manitou-council-inc-v-girl-scouts-of-the-united-states-of-wied-2010.