Alaska Supreme Court Decides Church Property Dispute

The Alaska Supreme Court this week, in a case of first impression under Alaska law, decided how property disputes should be resolved following a schism between a church an its parent body. In St. Paul Church Inc. v. Board of Trustees of the Alaska Missionary Conference of the United Methodist Church, Inc., (AK Sup. Ct., Oct. 13, 2006), the court applied an approach that relied on neutral principles of law to determine that the Alaska Missionary Conference (AMC) was entitled to possession to two parcels of property acquired by St. Paul's when it was affiliated with the United Methodist Church. However, the court held that St. Paul's Church was entitled to retain its independent corporate existence and name. The court also upheld trespass and conversion claims against individuals connected with St. Paul's who entered the church, changed the locks and held services in it over the objections of AMC.