This is ridiculous. How would this even work in practice?
Say I am a charity who feeds the homeless. You like that, so you I’ve me a $1 million dollar interest free loan to further my cause, but say you can demand repayment if we strayed from our mission.
Ok... so what is the charity going to do with the money? They are going to spend it on stuff.. so they spend the million dollars either on things that are good for the charity mission or not, but either way they are spending the money.
If afterward you say “that isn’t right, I demand you pay back the loan!”.... how are you going to collect? They already spent the money. The loan wasn’t backed by anything you can take back. You could take the charity over, I guess, but it will be a name with no assets.
Even if a charity had assets to take, how do we know the DONOR won’t ‘stray from their mission’ and suddenly demand repayment years later after the money is spent? Who decides if the charity has strayed from their mission and the money is eligible to be taken back? What if the donor suddenly needs money and claims the charity drifted off mission even though they didn’t?
This is one of those ideas that sounds good unless you think about it.
Say I am a charity who feeds the homeless. You like that, so you I’ve me a $1 million dollar interest free loan to further my cause, but say you can demand repayment if we strayed from our mission.
Ok... so what is the charity going to do with the money? They are going to spend it on stuff.. so they spend the million dollars either on things that are good for the charity mission or not, but either way they are spending the money.
If afterward you say “that isn’t right, I demand you pay back the loan!”.... how are you going to collect? They already spent the money. The loan wasn’t backed by anything you can take back. You could take the charity over, I guess, but it will be a name with no assets.
Even if a charity had assets to take, how do we know the DONOR won’t ‘stray from their mission’ and suddenly demand repayment years later after the money is spent? Who decides if the charity has strayed from their mission and the money is eligible to be taken back? What if the donor suddenly needs money and claims the charity drifted off mission even though they didn’t?
This is one of those ideas that sounds good unless you think about it.