December 6, 2023 - The Hustle Free Newsletter
Kars4Kids, creator of the worst jingle, in kourt
But the New Jersey-based charity is also involved in a weird trademark battle with Texas-based America Can! Cars for Kids, per The Drive.
A tale of two charities
They also apparently waste money bickering over their similar names: Cars filed a cease-and-desist order against Kars in 2003 and 2013, then both charities sued each other in 2014.
In 2019, a New Jersey court ordered Kars to pay Cars $10.6m. Kars filed an appeal, and they’re due back in court this month.
… is that Kars4Kids is frequently in hot water.
It’s faced criticism for not clearly disclosing that it primarily serves Orthodox Jewish children in the Northeast US, and for using very little of its money on charity.
But Cars For Kids and Kars4Kids both have two-star ratings from charity watchdog Charity Navigator, losing points for financial accountability.
And it turns out that such charities are often criticized for donating little of what they raise, as processing car donations is expensive.
Nonprofit Quarterly found that two organizations able to return 70%+ of earnings saved money on storage and towing, and avoided high auction fees by also selling directly to buyers.
And now: Kars4Kids, but metal.