An appeals court has reinstated Utahn James Huntsman's fraud case against the LDS Church over millions of dollars in tithing.
In a major setback for the Utah-based faith, a three-judge panel of the 9th U.S. Circuit Court of Appeals ruled 2-1 on Monday that a lower court judge erred by summarily tossing out Huntsman’s lawsuit, which alleges he was misled by church leaders and seeks to recover millions inThe California-based appellate court’s split opinion found that a genuine dispute over facts and the meaning of official statements by top church leaders remained when U.S.
All three appellate judges, however, agreed that was not the case with similar accusations Huntsman made about church spending on a church-owned insurance company, Salt Lake City-based Beneficial Life, which they did not uphold. In a brief interview shortly after the opinion was published, James Huntsman said he was “very grateful that the court has granted my appeal” and called it “an amazing victory, especially when you think a year and a half ago we were thrown out of court.”The church noted in a short statement that only part of the case was being sent back to the trial court “for further handling.”
Evidence suggests, the judges found, that the term “tithing” was in common usage among church officials to— despite church assertions that Hinckley distinguished between the two in statements later submitted to the court as evidence. “A reasonable juror,” Korman wrote in his dissent, “could therefore not find that Hinckley made ‘a knowingly false representation of fact.’”, a former manager at Ensign Peak Advisors, the church’s investment arm, to the effect that its senior leaders all referred to money invested by the firm “as ‘tithing’ money, regardless of whether they were referring to principal or earnings.”
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