Class Action Lawsuit Filed Against Gateway Church
The suit claims Robert Morris and Gateway misrepresented its use of tithe funds from members.
Gateway Church, headquartered in the Dallas suburb of Southlake, has been facing a multitude of allegations and controversies after Cindy Clemishire’s sexual abuse allegations against founding pastor Robert Morris led to his resignation.
Robert Morris
Now, a class-action lawsuit has been filed against the church in federal court by members who are concerned about the stewardship of the money they contributed.
The lawsuit alleges that Morris and Gateway’s leadership represented that “15% of all tithe dollars would be distributed to global missions and Jewish ministry partners, encouraging church members to generously give toward these ends.”
Morris claimed in 2023 that Gateway had sent more than $25 million overseas, the lawsuit states.
However, the plaintiffs believe that was a misrepresentation, and they are seeking transparency about how the money was used.
“These individuals were faithful contributors for years and simply want Gateway to open its books, answer questions, and demonstrate that the church is a good steward of these funds,” Micah Dortch, attorney for the plaintiffs, said in a press statement.
“Church leaders have promised on multiple occasions that if any member of the congregation is not happy with how those contributions are being used they can get that money back,” Dortch said. “But those requests have been repeatedly ignored.”
In 2021, MinistryWatch reported about the network of ministries associated with Gateway Church—there was little financial and organizational transparency made available to the public.
In 2011, Gateway reportedly hired a certified public accountant to oversee the contributions of Gateway’s Global Missions. This CPA — who is not named in the suit — held the position of executive pastor. In addition to his role “vetting and approving relationships with and gifts to ministry partners around the world,” he also supervised six associate pastors, the lawsuit says.
In contrast to Morris’s statement that Gateway was giving away $20 to $25 million a year to global missions, the executive pastor never witnessed more than $3 million annually in global missions contributions.
According to the lawsuit, the CPA also noted financial irregularities in the Gateway Global Ministries fund balance and brought those to the attention of Gateway leaders, including former Associate Senior Pastor Kevin Grove and former Executive Pastor Tom Lane.
The CPA claimed he told Lane he could not be part of financial irregularities and would resign if they were not addressed. Lane said he spoke with Morris, and they accepted his resignation.
“Rather than practice transparent stewardship with one of its key pastors, who was hired to lead the directly relevant global ministry, the Church ignored and buried his concerns,” the lawsuit alleges.
After the sexual abuse allegations against Morris arose this summer, the plaintiffs claim they approached leadership to seek answers about the use of tithe funds. “Gateway refused to be transparent when trying to answer even simple questions about the use of tithing dollars,” plaintiffs claim.
Lead plaintiff Katherine Leach “has publicly and directly delivered a demand letter to Gateway for the return of her tithes pursuant to Gateway’s ‘money back guarantee.’ Gateway has not responded.”
The lawsuit asserts claims for misrepresentation, fraud, and breach of contract.
A statement by Gateway to CBS News Texas reads in part, “These are serious allegations. Some of these concerns were brought to us recently, and we are actively investigating them. Funds donated to our church are sacred, and it is important that we hold ourselves to the highest biblical standards of ethics and integrity.”
Clemishire at Texas Legislature
Clemishire testified before the Texas House Committee on Judiciary and Civil Jurisprudence on October 2 about declining a settlement offer by Morris’s lawyers in exchange for signing a nondisclosure agreement (NDA). The committee was hearing testimony about civil NDAs in child sexual abuse settlements.
Clemishire’s story was made public on June 14.
“I’m sitting here today because I did not accept that offer and refused to sign an NDA saying I couldn’t speak about my life,” Clemishire said, according to KERA News.
Clemishire says Morris sexually abused her from 1982 through 1987, starting when she was 12 years old.
At 17, Clemishire said she confided the abuse to a friend who advised her to tell her parents, but not much changed.
“Back in the ‘80s, this was not something that was discussed,” Clemishire said. “So to think of going to share with any legal services, that just wasn’t discussed.”
Clemishire said it took 20 years for her to fully understand that what she experienced was abuse because it wasn’t aggressive and came from a family friend. At that time, her attorney reached out and asked for $50,000 for counseling from Morris.
“At that time, I was revictimized by being told I was the one to blame,” she said. Her testimony is that Morris’s attorneys offered her $25,000 if she would sign an NDA.
“People think it’s about what happened physically to us, but what actually carries on throughout our lives is the development we missed out on, physically, emotionally, mentally, and spiritually,” Clemishire said, adding that there is scientific evidence of trauma in the brains of child sexual abuse victims.
Clemishire told the committee she wasn’t just at the hearing to advocate for herself, but for the estimated 42 million adult survivors of child sexual abuse living in the United States.
EDITOR’S NOTE: Why does MinistryWatch report on financial fraud in the church? We report on them because one in three churches will be victimized, according to the Center for the Study of Global Christianity. We also report on them because these crimes have real victims and cost taxpayers and other stakeholders billions of dollars every year. Even small crimes in small churches have huge consequences. We also report on them to remind our readers that they do not have to be victims. There are steps you can take to prevent financial waste, fraud, and abuse in your church or ministry. To find out more, click here.
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