Mary Dowling navigates complex legal terrain where traditional nonprofit law meets social innovation. Her practice specializes in steering organizations through high-stakes challenges while maintaining their mission integrity.
“I’ve always been drawn to helping people move through uncertainty with confidence- and I’ve also always had an entrepreneurial streak,” said Dowling, whose career spans charitable organization representation, affordable housing advocacy and community development.
Dowling recently represented multiple public charities caught in the FTX Foundation bankruptcy proceedings. These organizations received grants ranging from hundreds of thousands to several million dollars, later subject to clawback claims.
“These organizations accepted grants in good faith- often for transformative projects- and suddenly found themselves in the middle of a high-profile bankruptcy with intense public scrutiny,” Dowling said.
Her work required balancing the fiduciary duties of public charities against public perception and reputational risk while navigating fraudulent transfer law.
In another significant case, Dowling secured tax exemption under IRC Section 501(c)(3) for an affordable housing nonprofit focusing on middle-income workforce housing- an underserved segment, earning above 80% Area Median Income but priced out of market rate options.
The challenge involved demonstrating how serving middle-income households constituted charitable purpose under tax law. Dowling constructed arguments supported by economic data and policy trends to justify exemption for households earning between 80% and 240% of Area Median Income.
Dowling counts securing a 25-year lease for the World Beat Cultural Center among her most meaningful achievements. After decades of institutional resistance from the City of San Diego, she helped establish permanent space for the organization in Balboa Park.
“The challenge there was not just legal- it was also cultural and historical,” Dowling noted about the case that required reframing the center’s value proposition while addressing practical aspects of public space leasing.”
Her practice reflects broader shifts in how nonprofits operate and structure themselves. “We’re seeing a rise in mission-driven organizations that don’t fit in the traditional mold- nonprofits engaging in hybrid models, public-private partnerships and entrepreneurial approaches to solving systemic issues,” Dowling observed.
This evolution challenges established definitions of charitable purpose and requires fresh interpretations from regulatory bodies and funders.