David Middlebrook, partner with the Church Law Group, recently spoke at our monthly church breakfast on the topic of intellectual property. He made some very interesting comments regarding employment agreements. Here are a few things that I learned.

Employment agreements within churches are frequently overlooked, but are one of the least expensive measures a church can adopt to help protect itself. Although churches are subject to the higher calling and authority of the Scriptures, churches must still comply with and are subject to the worldly laws that preside over them. Employment agreements allow churches to hire with confidence, and terminate with less fear of legal repercussions. As part of the human resources process, all church employees should be under an employment agreement. In addition to matters included in a standard employment agreement, such as those common in for-profit entities, a church’s employment agreement should include:

1. A statement expressing that the church is a religious employer.
2. Guidelines for the required Christian code of conduct for employment (for example, specific behaviors that the church considers acceptable and unacceptable). The church may reference the Bible as a general guide for defining acceptable behavior.
3. A statement outlining the conditions of employment:
   1. Statement covering intellectual properties – absent a written agreement to the contrary, all works made for hire belong to the church.
   2. Statement mentioning that in the event of any dispute over employment, the church has the right to take the employee to Christian arbitration/mediation/dispute resolution. Additionally, the statement may mention that the employer will pay its portion of the fees and the employee will be responsible for his or her portion of the fees.
4. A confidentiality statement that outlines the expectations the church has for its employees.

PSK frequently consults with the Church Law Group in this area. The Church Law Group specializes in legal matters for churches and nonprofit organizations, and can provide additional information regarding employment agreements.