PSR: Conflict of Interest

Conflict of Interest

A conflict of interest exists when a participant of LLLI may benefit from a business relationship that LLLI has, or seeks to have, with another organization. The most serious potential conflicts of interest relate to manufacturers or distributors of products that fall within the scope of the Code of Marketing of Breastmilk Substitutes and subsequent World Health Assembly resolutions.

The participant may be an employee, a volunteer, or member of the Board of Directors (Board member) of La Leche League International (LLLI), or a relative of an employee, volunteer, or Board member (for example, child, grandchild, parent, brother or sister, or spouse thereof). The benefit may be from a direct or indirect financial interest in, or by serving as a director, officer or in another management, fiduciary or consulting capacity with, or rendering other services to the other organization.

Whenever a conflict of interest exists, the employee, volunteer, or Board member with the conflict must report that conflict in writing to the Executive Director and Chairman or co-Chairmen of the Board of Directors of LLLI, disclosing the facts relevant to the conflict in reasonable detail. If, after disclosure, it is determined that it is in the best interest of LLLI to enter into, or continue to permit, a transaction as to which the conflict of interest exists, then the conflict may continue so long as written approval is obtained from the Executive Director and Chairman or co-Chairmen of the Board of LLLI. The Executive Director and Chairman or co-Chairmen of the Board of LLLI may, as part of that approval or thereafter, institute measures to insulate LLLI from decision making on its behalf by that employee, volunteer, or Board member, both in order to protect the interests of LLLI and to avoid even the appearance of possible impropriety (even if no actual impropriety exists).

The Chairman or Co-Chairman of the LLLI Board of Directors and Executive Director must have knowledge of all conflicts of interest so that the propriety of these conflicts of interest can be evaluated by the LLLI Board, and be freed from the taint of possible covert undue influence, and so that the Chairman or co-Chairmen of the LLLI Board of Directors and Executive Director can determine how, in the best interests of LLLI, to manage business or transaction relationships in which conflicts of interest exist so that transactions involving conflicts of interest are consummated on terms that are fair to LLLI.

In addition to the foregoing, the Board of Directors of LLLI must be notified of the conflict of interest, and decisions made by the Board of Directors of LLLI shall comply with applicable Illinois law concerning conflicts of interest.

(July 03, rev Nov 12, April 17)

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