Here is situation: Non Profit Trade Organization is allowing paid running ads for members and nonmembers throughout general site. Question is: Is it conflict of interest for them to have ads on site? Is it illegal or open for lawsuit interpretation?
The fact that they are a "non-profit" corporation is a classification which means the organization does not distribute profits to shareholders, but uses all of its monies to achieve its goals. A non-profit organization can legally make a profit and may need to pay taxes. There is no conflict of interest for the organization to sell ads on their site, just like a bake sale, it is just one more way for the organization to raise funds to achieve its goals.
Because it costs money to run a website, to hire staff, to meet its legal requirements, to advertise themselves and thats on top of what ever their actual objectives are