Disputed Property Belongs to Diocese, Court Rules
Episcopal News Service. June 29, 1978 [78185]
Ruth Nicastro
LOS ANGELES, Calif. -- The long awaited resolution of the property dispute between the Episcopal Diocese of Los Angeles and four parishes who had separated from it came on June 21 when Superior Court Judge J. Wesley Reed ruled that the property of the four parishes does indeed belong to the diocese.
Judge Reed's memorandum of intent to rule stated that the Protestant Episcopal Church in the United States of America (PECUSA), being a hierarchical church both in ecclesiastical and temporal matters, member parishes therefore are part of "a much larger and more important religious organization, under its government and control and bound by its orders and judgments. "
The four parishes involved are St. Mary of the Angels, Hollywood; Holy Apostles, Glendale ; Our Saviour, Los Angeles; and St. Matthias, Sun Valley. Each had withdrawn from the Episcopal Church early last year, and had changed its Articles of Incorporation with the California Secretary of State to remove all reference to the diocese and PECUSA.
The parishes and their rectors did not advise diocesan bishop Robert C. Rusack or the Standing Committee of these actions at the time. Rather, the chancellor of the diocese learned about the amendments from the Secretary of State after they had been filed.
The memorandum went on to point out that all of the property of each parish is impressed with an implied charitable trust, requiring its use for the benefit of members or congregations of the Protestant Episcopal Church.
The Court said its intent was to impose a permanent mandatory injunction requiring the rectors, wardens and vestrymen of the four parishes to surrender title, possession and control of all property to the diocese as trustee, to carry out the trust purposes established by the Court and of the charitable trust for which the property was originally acquired and which had been set forth in the original Articles of Incorporation of each parish.
Informed of the decision, Bishop Rusack said: "I am of course gratified to have our position upheld by the Court. It has been extremely difficult for us to have to go into Court to settle this matter of property ownership. However, we had no other choice, given the responsibility for stewardship of the resources of the Episcopal Church in this Diocese.
" When there is a schism, all suffer, " Bishop Rusack went on, "and neither side can rejoice. It is the constant hope of the Bishop and the diocese that those who have left our fellowship will return, and that the unhappy divisions may be healed. We assure those who have left us that they are continually in our thoughts and prayers. We miss their participation in our life of work and worship. May God guide them in the way they have chosen."
After the decision was announced, the Rev. George Clendenin, rector of Holy Apostles, and the Rev. John D. Barker, rector of St. Mary of the Angels, said that they intended to file an appeal.