Kay Smith and her late husband Chuck. A Smith family battle is waging behind the scenes for control of Calvary Chapel monies and properties.
Most in Calvary Chapel Land are unaware of the intense Smith family battle waging behind the scenes after Chuck Smith’s passing.
In a recent article about the Calvary Chapel Senior Pastor’s Conference 2014, I broached one aspect of the controversy.
Here’s the gist:
Not everyone was on board with Brian and Cheryl Brodersen taking over at Calvary Chapel Costa Mesa. Sources with direct knowledge of the situation state that there was an attempt by Paul Smith and that Camp to get the Brodersens to forgo the throne for $2 million (the initial report I had and that was reported elsewhere was $1 million). [The initial report stated that Jeff Smith was part of that effort, a source sympathetic to Camp Brodersen says Jeff was part of that effort, a source sympathetic to the Camp that opposes Brodersen denies that Jeff Smith had anything to do with that effort].
The Brodersens didn’t take the deal.
An emergency CCCM board meeting was called by Brian Brodersen, according to multiple sources, literally the day after Chuck Smith passed. It was initially reported by Calvary Chapel that the decision to name Brodersen as Chuck Smith’s successor at Calvary Chapel Costa Mesa was “unanimous” and the impression given was that things were much more kumbaya than they really were.
The truth, according to multiple sources, was that long-time CCCM board member Rob Yardley was not on board and neither was a big chunk of the Smith family including Paul Smith, Jeff Smith and Janette Smith-Manderson.
[Rob Yardley was the lone "nay" vote and resigned after the CCCM membership ratified Brodersen as the new Senior Pastor]. The Smith Camp in opposition to the “take-over” points out that many of the remaining board members had a vested interest in voting for the Brodersens and claim it really wasn’t a fair and transparent process.
Brian Brodersen has not returned past phone calls to get his side of the story…however, sources more sympathetic to Brodersen’s Camp have the same story regarding how the emergency board meeting went down…but claim that a majority at CCCM wanted the Brodersens for the right reasons.
Another big issue of conflict is over The Word For Today and Chuck Smith’s intellectual property (i.e. his teachings, sermons etc.)
A source with intimate knowledge of the inner-workings of Calvary Chapel Costa Mesa says there are two The Word For Today corporate entities. One is controlled by Calvary Chapel Costa Mesa, the other is controlled by a Board that has Jeff Smith and Janette Smith-Manderson as members.
A bit confusing, but here’s the nuance and what appears to be Chuck Smith’s doing (and rationale): Calvary Chapel Costa Mesa’s “The Word For Today” entity has the current contracts for distribution…while Jeff Smith and Janette Smith-Manderson’s “The Word For Today” has the rights to Chuck Smith’s intellectual property. Quite an interesting conundrum.
I’ve spoken with attorneys who are of the opinion that it would be very difficult for Calvary Chapel Costa Mesa to get the intellectual property rights away from Jeff and Janette’s TWFT…but that until the current distribution contract held by CCCM’s TWFT expires, the two Groups are kind of stuck in a relationship.
Sources in one Camp claim that CCCM is blocking payments to Kay Smith from some sort of “retirement annuity” with the claim that it’s really so the money won’t be used to fight legal battles to challenge CCCM and the Brodersens.
Also at issue is the claim that the CCCM board pressured Chuck Smith to make the church the beneficiary of a life insurance policy instead of Kay Smith and The Word For Today that the other Camp controls. Chuck Smith did not pay into social security and sources say that Kay Smith has very little income as a result.
Sources more sympathetic to Camp Brodersen with inside knowledge of CCCM inner-workings question the claim that Kay Smith has been blocked from receiving money from what they said was a “Rabbi trust” vs. a retirement annuity. “It would be impossible to do what they are claiming,” said the source.
The same source also stated that Chuck Smith had many assets privately and had been a good steward with his money and that the notion that Kay Smith was broke was “ridiculous.”
“They are spreading misinformation,” said the source, adding, “I don’t like them using Kay.”
Whatever the case, there is a Smith family battle waging behind the scenes…and the fireworks are just beginning.
[I received an update that Kay Smith was finally able to get a partial payment from the "annuity" which the source says has helped because attorney's fees in administering the "Living Trust" have exceeded $50,000...probably due to the intellectual property issues. It is also reported that Kay Smith just recently received the proceeds of a church life insurance policy in the amount of $12,000. However, the source says that any rumor that Chuck Smith left a "fortune" behind is a myth...there is not a lot of money and lawyer fees and accountant fees are significant].