Montana Supreme Court Rules On Lutheran Church Property Dispute

In New Hope Lutheran Ministry v. Faith Lutheran Church of Great Falls, Inc., (MT Sup. Ct., March  12, 2014), the Montana Supreme Court held that members of a Lutheran congregation-- Faith Lutheran Church-- that voted to break away from the Evangelical Lutheran Church in America over ELCA's policy of ordaining gays and lesbians are not entitled to the church's property. The break-away members voted to affiliate instead with Lutheran Congregations in Mission for Christ. Under Faith Lutheran's constitution, while a 2/3 vote would authorize disaffiliation, a 90% vote was needed before title to the church's property would go to the break-away congregation. Only 71% of members voted to disaffiliate. The court said:

we conclude that a dispute over church documents susceptible to application of neutral principles may ... be resolved by a court using the neutral approach. The challenge raised here by Faith Lutheran to the validity of the 1993 constitution does not require us to delve into doctrinal matters, and only separate, secular language is used. Resolution is possible under application of neutral principles of contract, trust, and corporate law. Thus, no First Amendment concern is raised that would prohibit a court’s exercise of jurisdiction over the dispute.....

Finding that the church's 1993 constitution was valid, the court held that the congregation's property belongs to New Hope Lutheran Ministry-- the group that remains loyal to ELCA. However the court concluded that funds held by a Foundation that was created to support Faith Lutheran Church belong to the break-away congregation. The Montana Supreme Court also published a Synopsis of the Case.  Great Falls Tribune reports on the decision.