Michigan Lawsuit Abuse Watch

Nonprofit profile at a glance

EIN
383310189
IRS 990-EZ coverage
2009–2010
Forms available
Form 990-EZ 2010
Location
Novi, MI, USA
Phone
2484492990
Rating
77
Verdict
SUPPORTED
Rating confidence
Moderate
Sector
Crime Prevention

Official website

Reported finances

Revenue
$38,747
Expenses
$42,369
Assets
$14,593

Source: IRS Form 990-EZ. Selected filing: tax year 2010. Amounts in USD.

Leadership & pay

10 people listed

Source: IRS Form 990-EZ. Selected filing: tax year 2010. Names and roles reflect this filing, not necessarily current officeholders.

Overview

Mission

To educate the public about the negative impact lawsuit abuse has on families, job providers, organizations, and communities.

What it reported doing in 2010

Research and media (speeches, radio and television appearances, etc.) to increase public awareness of the effects of lawsuit abuse on Michigan consumers, job providers, organizations, and communities.

Operating model

Revenue model
Donor-supported. 99% of the money available for current operations came from contributions and gifts.
Distribution model
Direct operator. The filing allocates 100% of reported program-service expenses outside its grant, affiliate-payment, and member-benefit lines. This expense classification does not rule out separately announced grant awards.

The verdict

SUPPORTED - The filed numbers largely add up and a large share of available resources goes toward mission work. Expenses are high relative to revenue and revenue has declined or grown slowly.

Rating breakdown

  • Financial Efficiency: 68
  • Transparency & Controls: 100
  • Sustainability: 22
  • Growth: 40

Detailed rating inputs

Financial Efficiency

  • Mission deployment rate: 69.9%; rating input score 70
  • Program expense ratio: 63.9%; rating input score 64

Transparency & Controls

  • Consistency checks: 100%; rating input score 100; 50th percentile among comparable filings
  • Major donor itemization: Yes; rating input score 100

Sustainability

  • Operating margin: -9.3%; rating input score 31; 31st percentile among comparable filings
  • Total-asset coverage ratio: 0.34; rating input score 24; 24th percentile among comparable filings
  • Liabilities to assets ratio: Limited
  • Officer compensation ratio: Limited

Growth

  • Program expense growth: 55% per year; rating input score 100; 87th percentile among comparable filings
  • Revenue growth: -13.7% per year; rating input score 0; 35th percentile among comparable filings
  • Asset growth: -9.7% per year; rating input score 0; 30th percentile among comparable filings

Details

  • Where the money goes: 69.9% of revenue deployed · 63.9% of spending went to programs
  • Governance: Filed governance answers
  • Accomplishments: 1 filed program accomplishment · $27K in reported program spending
  • Leadership: top reported pay $24K · 10 people listed
  • Consistency: 7 of 7 current checks pass
  • Schedules: 2 filed schedules
  • Filing history: 2 filing years from 2009 to 2010
  • Money network: 1 filed money-flow record
  • Grant readiness: Federal tax and exclusion status, award history, and grant-maker relationships.
  • People: Everyone the filings name, and which of them the filings identify by more than a name.

Key Signals

Signals prioritize questions for review. They are not findings of misconduct.

  • Moderate — Sustainability: Operating margin scored 31/100.
  • High — Growth: Revenue growth scored 0/100.
  • High — Sustainability: Total-asset coverage ratio scored 24/100.
  • High — Growth: Asset growth scored 0/100.