A group of PFC member-owners is raising funds for legal guidance to ensure cooperative governance processes remain transparent, accountable, and consistent with the Co-op’s bylaws.

Protecting Owner Rights at People’s Food Co-op

Why This Fund Exists

People’s Food Co-operative of Kalamazoo has been a cornerstone of Kalamazoo’s local food system for decades. As a cooperative, it belongs to its member-owners and is guided by bylaws, democratic governance, and cooperative principles designed to ensure transparency and accountability.

Recently, a growing number of PFC owners have become concerned about governance processes and leadership decisions under the current board and interim general manager. These concerns focus on whether certain actions and decisions are consistent with the Co-op’s bylaws, applicable statutes, and the Policy Governance framework that guides how cooperative leadership is meant to operate.

Because the cooperative belongs to its owners, members began meeting to discuss what options are available within the governing documents when governance questions arise.

At a recent meeting, one of the options that participating owners voted to pursue will require legal counsel to better understand and responsibly exercise the rights available to member-owners.

Seeking legal guidance is a careful and constructive step. It allows owners to clarify the governance processes established in the bylaws, understand the legal responsibilities of cooperative leadership, and determine what actions—if any—may be appropriate to ensure the cooperative continues to operate with transparency, accountability, and fidelity to cooperative principles.

We believe deeply in the mission of the People’s Food Co-operative of Kalamazoo and want to see it continue to thrive as a strong, community-owned institution.

How We Got Here

Concerned owners began organizing after noticing questions about governance processes and alignment with cooperative bylaws and policies.

Key steps so far include:

• Owners began meeting to discuss governance concerns and cooperative rights.

• Members reviewed the bylaws and Policy Governance framework that guide the cooperative.

• Participants voted at a meeting to pursue options that require legal counsel in order to better understand owner rights and responsibilities.

• A legal firm experienced in governance issues has been helping owners understand their options.

Legal guidance ensures that any next steps are responsible, lawful, and grounded in the cooperative’s governing documents.

What the Funds Will Cover

Funds raised through this campaign will be used to retain legal counsel to represent the interests of concerned PFC owners.

Specifically:

• Funds will be placed in a trust account with the legal firm assisting owners.

• The firm has already provided substantial guidance pro bono and has agreed to continue working at a discounted rate.

• Legal counsel will help ensure that any actions taken are consistent with cooperative law, PFC bylaws, and governance requirements.

Actions will consist of assembling a petition for board recall and a special election, among other possible options.

Transparency and accountability are core to this effort.

Because of that:

• If funds remain after the legal work is complete and the cooperative is back under stable owner governance, remaining funds will be donated back to People’s Food Co-op.

• If the cooperative does not return to owner control, remaining funds will be placed in a support fund for workers who have lost their jobs.

In either case, contributions will ultimately support the cooperative community.

Why This Matters

Cooperatives exist because of the people who own and sustain them. When governance questions arise, responsible owners have a duty to engage thoughtfully and respectfully with the systems designed to protect the cooperative.

Seeking legal guidance helps ensure that process is fair, transparent, and grounded in the cooperative’s founding principles.

This effort is about protecting democratic ownership, strengthening accountability, and supporting the long-term health of the co-op and the community it serves.

How You Can Help

Legal representation ensures that owners can navigate this process responsibly and with clarity.

If you believe in community ownership, cooperative governance, and the long-term future of People’s Food Co-op, please consider contributing.

Every donation helps ensure that owners have the tools they need to responsibly protect the cooperative and its mission.

Please also consider sharing this campaign with other owners and community members who care about the future of PFC.

Together, we can help ensure that People’s Food Co-op remains a strong, transparent, and community-owned institution.