Guide to the legal duties of Committee or Board members of not-for-profit community organisations in Victoria
New laws for Victorian incorporated associations came into effect on 26 November 2012. The resources in this section have been updated to reflect the new laws. The new Associations Incorporation Reform Act 2012 (Vic) can be accessed here, and you can read more about the changes at Consumer Affairs Victoria's website here.
This Guide is about the legal duties that apply to people involved in governing Victorian, not-for-profit (NFP) community organisation - that is, people who sit on a Committee of Management or Board.
This Guide is suitable for all people who are involved in governing a Victorian, NFP community organisations, that is:
- community groups that have not incorporated (‘unincorporated groups’) and are based in Victoria
- Victorian incorporated associations
- Victorian co-operatives
- companies limited by guarantee
- indigenous corporations
The Guide sets out:
- an introduction explaining the context of the Guide - it is important to read this first! (Part A)
- where the legal duties come from, who has to comply with them and why (Part B)
- details of the four main legal duties all Committee members must comply with (Part C)
- a table of legislative provisions underlying the four main duties (Part D)
- potential consequences of not complying with your legal duties (Part E)
- the possible protections (eg. insurance) that are available for Committee members (Part E)
- some of the other legal duties that Committee members may need to comply with (Part F)
*NOTE* The regulation of Companies Limited by Guarantee and Registered Australian Bodies that are registered as charities is transitioning from ASIC to the Australian Charities and Not-for-profits Commission (ACNC). Until 1 July 2013, groups need to comply with directors duties under the Corporations Act. After 1 July 2013, most directors duties under the Corporations Act will not apply to groups regulated by the ACNC, and new (but very similar) duties in Governance Standards for charities will apply. PilchConnect will prepare resources for CLGs and RABs registered as charities once the requirements are finalised. For more information go to the PilchConnect information on the ACNC here.
Download the complete Guide: