Yes there are a number of court decisions dealing with Canadian registered charities and how they are allowed to interact with organizations that are non-qualified donees.
In CRA’s Guidance “Using an Intermediary to Carry out a Charity’s Activities within Canada” it notes:
3.3. Court decisions about the use of intermediaries
The Federal Court of Appeal has rendered three decisions concerning charities using intermediaries to carry out their activities. Each case was an appeal of a revocation of charitable status by the CRA, and the Federal Court of Appeal dismissed each appeal.
The Federal Court of Appeal’s decisions confirmed that a charity working with an intermediary must control the activities carried out on its behalf and maintain direction and control over the use of its resources. Charities or applicants for charitable status may find it useful to review these decisions, which are as follows:
• The Canadian Committee for the Tel Aviv Foundation v. Canada (2002 FCA 72), 2002-03-01
• Canadian Magen David Adom for Israel v. Canada (Minister of National Revenue) (2002 FCA 323), 2002-09-13
• Bayit Lepletot v. Canada (Minister of National Revenue) (2006 FCA 128), 2006-03-28
For more information on the CRA Guidance “Using an Intermediary to Carry out a Charity’s Activities within Canada” (Reference number CG-004) see:
https://www.canadiancharitylaw.ca/index.php/blog/category/using_intermediaries_in_canada/ or
http://www.cra-arc.gc.ca/chrts-gvng/chrts/plcy/cgd/ntrmdry-eng.html
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