But the thing is, the competition organizers are not "members" of the NDCA. Pros are not members; judges/officials are not members; amateurs are not members. If you don’t believe me and believe only the NDCA, that's fine, but please do read the introduction to the NDCA Rules that lists the actual members and also do read Section I C (4)(b) of the NDCA Rules which says that "registrants" are not members of the NDCA. The NDCA can't just cherry-pick and treat registrants as "members" for some purposes but not for others – and certainly not when they've got to report that sort of thing in their IRS Form 990.
Following on from that, as competition organizers are not "members" of the NDCA, why would they *have* to deny service to customers just because the NDCA wants them to? Why would for-profit companies turn away business because a not-for-profit organization wants them to? If this were a franchisor/franchisee relationship between the NDCA and comp organizers - well, then, OK. But that shouldn't be the case here. I have searched and found no information on NDCA franchise offering circulars anywhere - and, as the NDCA is a 501(c)(6), it is very likely not in the position to be a franchisor anyway. If the NDCA were to find itself in the role of an "accidental franchisor" in trying to control their "sanctioned" competitions, well, that's potentially got some serious stuff attached to it.
Now, I grant you, I have not seen the legal documents going back and forth between the NDCA and USA Dance that Larinda has seen (though my understanding from the demand letter would be that those documents address antitrust issues and judges issues, not IRS and pro issues). I realize that in a different thread Larinda has said that the people who are challenging the NDCA are barking into the wind and that the challenges to the NDCA are meritless. Well, it may be that I'm barking mad and certainly no one needs to agree with me. But I have run across IRS exemption compliance issues and franchise issues in other contexts and it seems to me that there is a lot more complexity to it and the questions may not be quite as easily dismissed as Larinda suggests. However, I claim no special insight and it may very well be that the expertise of others in this thread is greater than mine in such matters.
I'm not trying to be flippant by any means. But I think this is all a lot messier than what people would wish.