Corporations (Aboriginal and Torres Strait Islander) Act 2006

CHAPTER 1 - INTRODUCTION  

PART 1-1 - PRELIMINARY  

Division 1 - Preliminary  

SECTION 1-1   1-1   SHORT TITLE  
This Act may be cited as the Corporations (Aboriginal and Torres Strait Islander) Act 2006.

SECTION 1-5   1-5   COMMENCEMENT  
This Act commences on 1 July 2007.

SECTION 1-10   ACT BINDS CROWN  

1-10(1)  


This Act (except Part 5.8 of the Corporations Act as applied by sections 516-1, 521-1, 526-35 and 526-40) binds the Crown in right of the Commonwealth, of each of the States, of the Australian Capital Territory and of the Northern Territory.

1-10(2)  
To avoid doubt, a reference in this section to the Crown in a particular right includes a reference to an instrumentality or agency (whether a body corporate or not) of the Crown in that right.

1-10(3)  
However, this Act does not make the Crown liable to a pecuniary penalty or to be prosecuted for an offence.

SECTION 1-15   GEOGRAPHICAL APPLICATION OF ACT  

1-15(1)  
This Act extends to the external Territories.

1-15(2)  
Each provision of this Act applies, according to its tenor, in relation to acts and omissions outside this jurisdiction.

SECTION 1-20   1-20   ACT APPLIES REGARDLESS OF RESIDENCE, PLACE OF FORMATION ETC.  
Each provision of this Act applies according to its tenor to:

(a)  natural persons whether:


(i) resident in Australia or an external Territory or not; and

(ii) Australian citizens or not; and

(b)  all bodies corporate and unincorporated bodies whether formed or carrying on business in Australia or an external Territory or not.

Note:

Many of the provisions in this Act apply only in relation to Aboriginal and Torres Strait Islander corporations.

SECTION 1-25   1-25   OBJECTS OF THIS ACT  
The objects of this Act are to:

(a)  provide for the Registrar of Aboriginal and Torres Strait Islander Corporations; and

(b)  provide for the Registrar's functions and powers; and

(c)  provide for the incorporation, operation and regulation of those bodies that it is appropriate for this Act to cover; and

(d)  without limiting paragraph (c) - provide for the incorporation, operation and regulation of bodies that are incorporated for the purpose of becoming a registered native title body corporate; and

(e)  provide for the duties of officers of Aboriginal and Torres Strait Islander corporations and regulate those officers in the performance of those duties.

SECTION 1-30   1-30   OFFICE OF THE REGISTRAR OF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  
There is to be, within the Department, the Office of the Registrar of Aboriginal and Torres Strait Islander Corporations.

SECTION 1-35   1-35   INTERPRETATIVE PROVISIONS  
Chapter 17 contains the Dictionary, which sets out a list of all the terms that are defined in this Act. It also sets out the meanings of some important concepts and rules on how to interpret this Act.

PART 1-2 - OVERVIEW OF ACT  

Division 6 - Overview of Act  

SECTION 6-1   OVERVIEW OF ACT  

6-1(1)  
This Act primarily provides for the incorporation and regulation of Aboriginal and Torres Strait Islander corporations.

6-1(2)  
It also provides for the Registrar and the Office of the Registrar of Aboriginal and Torres Strait Islander Corporations.

SECTION 6-5   ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

6-5(1)  
Chapter 2 provides for an application to be made to the Registrar for registration of an Aboriginal and Torres Strait Islander corporation.

6-5(2)  
There are a number of registration requirements that must be met before the Registrar may register an Aboriginal and Torres Strait Islander corporation.

6-5(3)  
Chapter 2 also deals with the effects of registration of an Aboriginal and Torres Strait Islander corporation on the corporation's members, officers, contact persons and registered office.

SECTION 6-10   BASIC FEATURES OF AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  

6-10(1)  
Chapter 3 deals with the basic features of an Aboriginal and Torres Strait Islander corporation. It covers matters such as the corporation's name, constitution and other rules applying to the corporation and the corporation's registered office or address for document access.

6-10(2)  
Chapter 3 also provides for the assumptions that people who deal with an Aboriginal and Torres Strait Islander corporation can make in those dealings.

SECTION 6-15   MEMBERS AND OBSERVERS  

6-15(1)  
Chapter 4 sets out some rules for membership of an Aboriginal and Torres Strait Islander corporation and some rules about cancelling the membership of members of the corporation. Aboriginal and Torres Strait Islander corporations have members (as opposed to shareholders) and they may also have persons who observe the operation of the corporation's meetings (observers).

6-15(2)  
Chapter 4 also deals with the register of members that the corporation is required to keep, and with protection of the rights and interests of members of the corporation.

SECTION 6-20   MEETINGS  

6-20(1)  
Chapter 5 sets out some rules for the calling and holding of general meetings and annual general meetings of an Aboriginal and Torres Strait Islander corporation.

6-20(2)  
Chapter 5 also deals with rules concerning directors' meetings.

SECTION 6-25   OFFICERS  

6-25(1)  
Chapter 6 deals with officers and contact persons of an Aboriginal and Torres Strait Islander corporation.

6-25(2) 
Importantly, Chapter 6 also deals with the duties of officers and their disqualification for breaches of those duties.

SECTION 6-30   RECORD KEEPING, REPORTING REQUIREMENTS AND BOOKS  

6-30(1)  
Chapter 7 deals with the reporting requirements that are imposed on an Aboriginal and Torres Strait Islander corporation. An Aboriginal and Torres Strait Islander corporation may have to lodge a general report and may also have to lodge financial reports (depending on the corporation's size etc.).

6-30(2)  
Chapter 7 also deals with the books of an Aboriginal and Torres Strait Islander corporation.

SECTION 6-35   6-35   CIVIL CONSEQUENCES OF CONTRAVENING CIVIL PENALTY PROVISIONS  
Chapter 8 deals with the civil consequences of an officer breaching a duty imposed by this Act.

Note:

The criminal consequences are dealt with in Chapter 6.

SECTION 6-40   LODGMENTS AND REGISTERS  

6-40(1)  
Chapter 9 deals with the requirement to lodge certain documents with the Registrar.

6-40(2)  
Chapter 9 also deals with the registers that the Registrar may, or is required to, keep. Information on these registers is available to the public.

SECTION 6-45   REGULATION AND ENFORCEMENT  

6-45(1)  
Chapter 10 deals with a number of regulatory powers that the Registrar may use in the regulation of Aboriginal and Torres Strait Islander corporations.

6-45(2)  
Chapter 10 also deals with the Registrar's powers of enforcement and the protection of whistleblowers.

SECTION 6-50   EXTERNAL ADMINISTRATION  

6-50(1)  
Chapter 11 deals with the administration of an Aboriginal and Torres Strait Islander corporation by persons outside the corporation (for example, in a winding up).

6-50(2)  
Importantly, the Registrar may appoint a special administrator for an Aboriginal and Torres Strait Islander corporation in circumstances that are vital to the continued viability of the corporation. The special administrator differs from an ordinary administrator.

SECTION 6-55   6-55   TRANSFER OF REGISTRATION, DEREGISTRATION AND UNCLAIMED PROPERTY  
Chapter 12 deals with:

(a)  the transfer of an Aboriginal and Torres Strait Islander corporation's registration to another Commonwealth, State or Territory system; and

(b)  the deregistration of an Aboriginal and Torres Strait Islander corporation; and

(c)  unclaimed property of an Aboriginal and Torres Strait Islander corporation that has been deregistered.

SECTION 6-60   6-60   OFFENCES  
Chapter 13 deals with general offences against this Act.

SECTION 6-65   6-65   COURTS AND PROCEEDINGS  
Chapter 14 deals with the jurisdiction of courts to hear matters under this Act, injunctions and court proceedings.

SECTION 6-70   6-70   ADMINISTRATION  
Chapter 15 deals with a number of matters concerning the general administration of this Act (for example, the protection of information and review of decisions).

SECTION 6-75   REGISTRAR AND DEPUTY REGISTRARS OF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

6-75(1)  
Chapter 16 deals with the appointment of the Registrar and Deputy Registrars. The Registrar is charged with the administration of this Act.

6-75(2)  
Chapter 16 also deals with the powers and functions of the Registrar.

SECTION 6-80   6-80   INTERPRETING THIS ACT  
Chapter 17 contains the interpretation provisions of this Act and the definitions.

CHAPTER 2 - ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

PART 2-1 - INTRODUCTION  

Division 16 - Introduction  

SECTION 16-1   WHAT THIS CHAPTER IS ABOUT  

This Chapter provides for Aboriginal and Torres Strait Islander corporations and their registration.

In particular, it deals with:

what an Aboriginal and Torres Strait Islander corporation is (see section 16-5); and

the application for registration (see Part 2-2); and

decisions on applications (see Part 2-3); and

registration of small, medium and large corporations (see Part 2-4); and

the effects of registration (see Part 2-5).

SECTION 16-5   16-5   MEANING OF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  
An Aboriginal and Torres Strait Islander corporation is a corporation registered under this Act.

PART 2-2 - APPLICATIONS FOR REGISTRATION OF AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  

Division 21 - Application for new registration of an Aboriginal and Torres Strait Islander corporation  

SECTION 21-1   APPLICATION FOR REGISTRATION  

21-1(1)  
An application by a person (the applicant ) for registration of an Aboriginal and Torres Strait Islander corporation must contain the following information:

(a)  the applicant's name and address;

(b)  the corporation's proposed name;

(c)  if the applicant is requesting an exemption from having to have at least 5 members - a request for the exemption specifying the proposed minimum number of members;

(d)  an indication of whether, for the corporation's first financial year, the corporation is expected to be a small, medium or large corporation;

(e)  if the corporation is expected to be a large corporation for the corporation's first financial year - the address of the proposed registered office;

(f)  if the corporation is expected to be a small or medium corporation for the corporation's first financial year - the address of the proposed document access address;

(g)  the names and addresses of each person who consents in writing to become a member of the corporation;

(h)  the director details of each person who consents in writing to become a director of the corporation;

(i)  if the corporation is expected to be a small or medium corporation in respect of the corporation's first financial year - the name and address of the person who consents in writing to be the contact person;

(j)  if the corporation is expected to be a large corporation in respect of the corporation's first financial year - the name and address of the person who consents in writing to be the corporation's secretary;

(k)  whether the people who are, or have been, members of the corporation are to be liable to contribute towards the payment of the debts and liabilities of the corporation and if so, the extent of the persons' liabilities;

(l)  such other information that the Registrar specifies in writing in respect of the registration of the corporation;

(m)  such other information that is prescribed by the regulations as information that must be included in the application.

Note:

The address of the director, secretary or contact person that must be stated is usually the residential address. However, an alternative address may be stated in certain circumstances (see section 304-15).

21-1(2)  
The application must also:

(a)  identify the directors who are to hold office for only one year; and

(b)  if the application seeks registration of an Aboriginal and Torres Strait Islander corporation for the purpose of becoming a registered native title body corporate - indicate that purpose. Director details

21-1(3)  
The director details of a person who consents to become a director are the following:

(a)  the person's given and family name;

(b)  all former given and family names of the person;

(d)  the person's address;

(e)  the person's date and place of birth (if known);

(ea)  

the person's director identification number, or the fact that the person does not have a director identification number;

(f)  a declaration in writing from the person stating that the person is eligible to be a director of an Aboriginal and Torres Strait Islander corporation.

21-1(4)  
A specification by the Registrar under paragraph (1)(l) is not a legislative instrument.

SECTION 21-5   21-5   MATTERS TO ACCOMPANY APPLICATION  
The following must accompany an application under section 21-1:

(a)  evidence of the decisions referred to in section 29-15 (if applicable);

(b)  copies of the consents referred to in subsection 21-1(1).

Note:

Under the internal governance rules requirement (see section 29-20), a copy of the proposed constitution of a proposed corporation must also be provided to the Registrar before the time the Registrar makes a decision under section 26-1 in respect of the application.

SECTION 21-10   REGISTRAR MAY SEEK FURTHER INFORMATION  

21-10(1)  
For the purposes of determining an application, the Registrar may request an applicant to provide such further information as the Registrar requests within the period specified by the Registrar in the request.

21-10(2)  
The Registrar may extend a period specified under subsection (1).

21-10(3)  
If the applicant does not comply with the request, the Registrar may treat the application as being withdrawn and notify the applicant in writing accordingly. The notice must be given within 28 days after the Registrar makes the decision to treat the application as being withdrawn.

21-10(4)  
A request under this section must state the effect of subsection (3).

Division 22 - Application to register existing body corporate under Part 2-3  

SECTION 22-1   APPLICATION FOR REGISTRATION  

22-1(1)  
A person (the applicant ) may apply to the Registrar for registration of an existing body corporate as an Aboriginal and Torres Strait Islander corporation under Part 2-3.

22-1(2)  
The application must contain the following information:

(a)  the applicant's name and address;

(b)  the body's current name;

(c)  the body's ACN (if any);

(d)  if the body is a registered body (within the meaning of the Corporations Act) - its ARBN;

(e)  the law under which the body is currently incorporated;

(f)  the name proposed to be adopted by the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(g)  if the applicant is requesting an exemption from having to have at least 5 members - a request for the exemption specifying the proposed minimum number of members;

(h)  an indication of whether, for its first financial year, the body is expected to be a small, medium or large corporation;

(i)  if the body is expected to be a large corporation for its first financial year - the address of the proposed registered office;

(j)  if the body is expected to be a small or medium corporation for its first financial year - the address of the proposed document access address;

(k)  the director details of each person who consents in writing to become a director of the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(l)  if the body is expected to be a small or medium corporation for its first financial year - the name and address of the person who consents in writing to be the contact person;

(m)  if the body is expected to be a large corporation for its first financial year - the name and address of the person who consents in writing to be the secretary when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(n)  whether, once the body becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the people who are, or have been, its members are to be liable to contribute towards the payment of its debts and liabilities and, if so, the extent of their liabilities;

(o)  such other information that the Registrar specifies in writing in respect of the registration of the body as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(p)  such other information that is prescribed by the regulations as information that must be included in the application.

Note:

The address of the director, secretary or contact person that must be stated is usually the residential address. However, an alternative address may be stated in certain circumstances (see section 304-15).

22-1(3)  
The application must also:

(a)  identify the directors who are to hold office for only one year; and

(b)  if the application seeks registration of the body as an Aboriginal and Torres Strait Islander corporation for the purpose of becoming a registered native title body corporate - indicate that purpose. Director details

22-1(4)  
The director details of a person who consents to become a director are the following:

(a)  the person's given and family name;

(b)  all former given and family names of the person;

(c)  the person's address;

(d)  the person's date and place of birth (if known);

(da)  

the person's director identification number, or the fact that the person does not have a director identification number;

(e)  a declaration in writing from the person stating that the person is eligible to be a director of an Aboriginal and Torres Strait Islander corporation.

22-1(5)  
A specification by the Registrar under paragraph (2)(o) is not a legislative instrument.

22-1(6)  
In this section:

ACN
has the same meaning as in the Corporations Act.

ARBN
has the same meaning as in the Corporations Act.

SECTION 22-5   MATTERS TO ACCOMPANY APPLICATION  

22-5(1)  
The following must accompany an application under section 22-1:

(a)  evidence of the resolution referred to in section 29-17;

(b)  copies of the consents referred to in subsection 22-1(2);

(c)  a certified copy of a current certificate of the body's incorporation in its place of origin, or of a document that has a similar effect;

(d)  a certified printed copy of the body's constitution (if any);

(e)  

evidence that the body is not a Chapter 5 body corporate;

(f)  evidence that no application to wind up the body has been made to a court (in Australia or elsewhere) that has not been dealt with;

(g)  evidence that no application to approve a compromise or arrangement between the body and another person has been made to a court (in Australia or elsewhere) that has not been dealt with;

(h)  evidence that under the law of the body's place of origin:


(i) the transfer of the body's incorporation is authorised; and

(ii) the body has complied with the requirements (if any) of that law for the transfer of its incorporation;

(i)  any other documents that are prescribed.

Note:

Under the internal governance rules requirement (see section 29-20), a copy of the proposed constitution of a proposed corporation must also be provided to the Registrar before the time the Registrar makes a decision under section 26-1 in respect of the application.

22-5(2)  
The evidence lodged in accordance with subsections (1) must be satisfactory proof to the Registrar of the matters referred to in that subsection.

Note:

Section 376-5 requires documents that are not in English to be translated into English.

SECTION 22-10   REGISTRAR MAY SEEK FURTHER INFORMATION  

22-10(1)  
For the purposes of determining an application made under section 22-1, the Registrar may request an applicant to provide such further information as the Registrar requests within the period specified by the Registrar in the request.

22-10(2)  
The Registrar may extend a period specified under subsection (1).

22-10(3)  
If the applicant does not comply with the request, the Registrar may treat the application as being withdrawn and notify the applicant in writing accordingly. The notice must be given within 28 days after the Registrar makes the decision to treat the application as being withdrawn.

22-10(4)  
A request under this section must state the effect of subsection (3).

Division 23 - Application to register amalgamated corporation under Part 2-3  

SECTION 23-1   APPLICATION FOR REGISTRATION  

23-1(1)  
A person (the applicant ) may apply to the Registrar for registration of an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) under Part 2-3 to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ).

23-1(2)  
The application must contain the following information:

(a)  the applicant's name and address;

(b)  the names, and ICNs, of the amalgamating corporations;

(c)  the name proposed to be adopted by the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(d)  if the applicant is requesting an exemption for the amalgamated corporation from having to have at least 5 members - a request for the exemption specifying the proposed minimum number of members;

(e)  an indication of whether, for its first financial year, the amalgamated corporation is expected to be a small, medium or large corporation;

(f)  if the amalgamated corporation is expected to be a large corporation for its first financial year - the address of the proposed registered office;

(g)  if the amalgamated corporation is expected to be a small or medium corporation for its first financial year - the address of the proposed document access address;

(h)  the director details of each person who consents in writing to become a director of the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(i)  if the amalgamated corporation is expected to be a small or medium corporation for its first financial year - the name and address of the person who consents in writing to be the contact person;

(j)  if the amalgamated corporation is expected to be a large corporation for its first financial year - the name and address of the person who consents in writing to be the secretary when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(k)  whether, once the amalgamated corporation becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the people who are, or have been, its members are to be liable to contribute towards the payment of its debts and liabilities and, if so, the extent of their liabilities;

(l)  such other information that the Registrar specifies in writing in respect of the registration of the amalgamated corporation as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(m)  such other information that is prescribed by the regulations as information that must be included in the application.

Note:

The address of the director, secretary or contact person that must be stated is usually the residential address. However, an alternative address may be stated in certain circumstances (see section 304-15).

23-1(3)  
The application must also:

(a)  identify the directors of the amalgamated corporation who are to hold office for only one year; and

(b)  if the application seeks registration of the amalgamated corporation for the purpose of becoming a registered native title body corporate - indicate that purpose. Director details

23-1(4)  
The director details of a person who consents to become a director are the following:

(a)  the person's given and family name;

(b)  all former given and family names of the person;

(c)  the person's address;

(d)  the person's date and place of birth (if known);

(da)  

the person's director identification number, or the fact that the person does not have a director identification number;

(e)  a declaration in writing from the person stating that the person is eligible to be a director of an Aboriginal and Torres Strait Islander corporation.

23-1(5)  
A specification by the Registrar under paragraph (1)(l) is not a legislative instrument.

SECTION 23-5   MATTERS TO ACCOMPANY APPLICATION  

23-5(1)  
The following must accompany an application under section 23-1:

(a)  evidence that, on registration, the amalgamated corporation will meet the creditor notice section requirements referred to in 29-18;

(b)  evidence of the resolutions referred to in section 29-19;

(c)  copies of the consents referred to in subsection 23-1(2);

(d)  

evidence that none of the amalgamating corporations is a Chapter 5 body corporate;

(e)  evidence that no application to wind up an amalgamating corporation has been made to a court (in Australia or elsewhere) that has not been dealt with;

(f)  evidence that no application to approve a compromise or arrangement between an amalgamating corporation and another person has been made to a court (in Australia or elsewhere) that has not been dealt with;

(g)  any other documents that are prescribed.

Note:

Under the internal governance rules requirement (see section 29-20), a copy of the proposed constitution of a proposed corporation must also be provided to the Registrar before the time the Registrar makes a decision under section 26-1 in respect of the application.

23-5(2)  
The evidence lodged in accordance with subsections (1) must be satisfactory proof to the Registrar of the matters referred to in that subsection.

Note:

Section 376-5 requires documents that are not in English to be translated into English.

SECTION 23-10   REGISTRAR MAY SEEK FURTHER INFORMATION  

23-10(1)  
For the purposes of determining an application under section 23-1, the Registrar may request an applicant to provide such further information as the Registrar requests within the period specified by the Registrar in the request.

23-10(2)  
The Registrar may extend a period specified under subsection (1).

23-10(3)  
If the applicant does not comply with the request, the Registrar may treat the application as being withdrawn and notify the applicant in writing accordingly. The notice must be given within 28 days after the Registrar makes the decision to treat the application as being withdrawn.

23-10(4)  
A request under this section must state the effect of subsection (3).

PART 2-3 - DECISIONS ON APPLICATIONS  

Division 26 - Registrar to decide application  

SECTION 26-1   REGISTRAR TO DECIDE APPLICATION   Registrar to decide

26-1(1)  
The Registrar must make a decision whether or not to grant an application under section 21-1, 22-1 or 23-1 for registration of an Aboriginal and Torres Strait Islander corporation. When may Registrar grant application

26-1(2)  
The Registrar may decide to grant the application if:

(a)  an application under section 21-1, 22-1 or 23-1 has been lodged for registration of the corporation (but see section 26-5); and

(b)  if the application is made under section 21-1 - the application is accompanied by the matters set out in section 21-5 (but see section 26-5); and

(ba)  if the application is made under section 22-1 - the application is accompanied by the matters set out in section 22-5 (but see section 26-5); and

(bb)  if the application is made under section 23-1 - the application is accompanied by the matters set out in section 23-5 (but see section 26-5); and

(c)  the Registrar is satisfied that, on registration, the corporation will meet the following basic requirements set out in Division 29 (but see section 26-10):


(i) the minimum number of members requirement (see section 29-1);

(ii) the Indigeneity requirement (see section 29-5);

(iii) the age of members requirement (see section 29-10);

(iv) if the application is made under section 21-1 - the pre-incorporation requirement (see section 29-15);

(iva) if the application is made under section 22-1 - the pre-transfer of registration requirement (see section 29-17);

(ivb) if the application is made under section 23-1 - the creditor notice requirements (see section 29-18) and the pre-amalgamation requirements (see section 29-19);

(v) the internal governance rules requirement (see section 29-20);

(vi) the name requirement (see section 29-25); and

(d)  section 26-15 does not preclude the registration; and

(e)  the Registrar is satisfied that it is more appropriate that the corporation be registered under this Act than under the Corporations Act or a law of a State or Territory dealing with incorporated bodies; and

(f)  the Registrar is satisfied that registering the corporation would not be contrary to the public interest. Special rules for amalgamation application under section 23-1

26-1(3)  
Subsections (4) and (5) apply in deciding whether to grant an application under section 23-1 to register an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ).

26-1(4)  
The Registrar must not grant the application if an objection to the grant of the application has been made under subsection 29-18(3) and the objection has not been withdrawn.

26-1(5)  
In addition to the matters referred to in subsection (2), the Registrar may have regard to the following matters in deciding whether to grant the application:

(a)  the size and complexity of the operations of the amalgamating corporations;

(b)  whether there are any unresolved disputes:


(i) internal to the operation of any of the amalgamating corporations; or

(ii) between any of the amalgamating corporations and other persons; or

(iii) about whether the amalgamated corporation should replace the amalgamating corporations;

(c)  the extent to which the amalgamating corporations, and the officers of the amalgamating corporations, have complied with this Act and the regulations;

(d)  the nature of any services provided by the amalgamating corporations and the people to whom those services are provided;

(e)  the capacity of the amalgamating corporations, and their officers, to make an application to the Court for orders under Part 5.1 of the Corporations Act (as applied by Division 45 of this Act);

(f)  whether it would be desirable for a court to supervise the process of the amalgamated corporation replacing the amalgamating corporations;

(g)  whether the amalgamating corporations have different member liability arrangements;

(h)  any other matter the Registrar considers relevant.

Note:

If the Registrar decides not to grant the application, the amalgamation may be able to be achieved by applying to the Court for orders under Part 5.1 of the Corporations Act (as applied by section 45-1 of this Act).

SECTION 26-5   26-5   REGISTRAR MAY GRANT APPLICATION IF APPLICATION IS INCOMPLETE ETC.  
Despite paragraphs 26-1(2)(a), (b), (ba) and (bb), the Registrar may grant the application even if the application for registration:

(a)  is incomplete or contains errors (as long as the applicant has provided his or her name and address in the application); or

(b)  some or all of the material required to accompany the application under section 21-5, section 22-5 or 23-5 is not provided, is incomplete or contains errors.

SECTION 26-10   REGISTRAR MAY GRANT APPLICATION IF SOME BASIC REQUIREMENTS ARE NOT MET   Circumstances when Registrar may register corporation

26-10(1)  
Despite paragraph 26-1(2)(c), the Registrar may grant the application even if the Registrar is not satisfied that the corporation, on registration, would meet:

(a)  the minimum number of members requirement; or

(b)  the age of members requirement; or

(c)  the pre-incorporation requirement; or

(d)  the pre-transfer of registration requirement; or

(e)  the creditor notice requirements; or

(f)  the pre-amalgamation requirements. Registrar not to register body in certain circumstances

26-10(2)  
However, the Registrar must not grant the application and register an Aboriginal and Torres Strait Islander corporation if, on registration, the corporation would not meet:

(a)  the Indigeneity requirement; or

(b)  the internal governance rules requirement; or

(c)  the name requirement.

SECTION 26-15   26-15   REGISTRAR NOT TO REGISTER TRADE UNIONS ETC.  
The following cannot be registered under this Act:

(a)  a trade union;

(b)  a body that is providing financial services (within the meaning of Chapter 7 of the Corporations Act);

(c)  a body of a kind prescribed in the regulations as a kind of body that must not be registered.

Division 29 - What are the basic requirements for registration?  

SECTION 29-1   29-1   MINIMUM NUMBER OF MEMBERS REQUIREMENT  
An Aboriginal and Torres Strait Islander corporation meets the minimum number of members requirement if the corporation complies with the requirement in subsection 77-5(1).

SECTION 29-5   29-5   INDIGENEITY REQUIREMENT  
An Aboriginal and Torres Strait Islander corporation meets the Indigeneity requirement if the corporation has the following required number or percentage of its members who are Aboriginal and Torres Strait Islander persons:

(a)  if the corporation has 5 or more members - at least the percentage of members prescribed in the regulations for the purposes of this section;

(b)  if the corporation has fewer than 5 members but more than one member - all of the members, or all but one of the members;

(c)  if the corporation has only one member - that member.

Note:

For the meaning of Aboriginal and Torres Strait Islander person , see section 700-1.

SECTION 29-10   29-10   AGE OF MEMBERS REQUIREMENT 
An Aboriginal and Torres Strait Islander corporation meets the age of members requirement if each member of the corporation who is an individual is at least 15 years of age.

SECTION 29-15   PRE-INCORPORATION REQUIREMENT  

29-15(1)  
An Aboriginal and Torres Strait Islander corporation meets the pre-incorporation requirement if 75% of the persons listed in the application for registration as persons who consent to become members of the corporation on registration have:

(a)  authorised the applicant to apply for the incorporation of the Aboriginal and Torres Strait Islander corporation; and

(b)  approved the proposed constitution provided to the Registrar under subsection 29-20(2) as the constitution of the corporation; and

(c)  if the internal governance rules that would apply to the corporation will include one or more replaceable rules - agreed to those replaceable rules so applying; and

(d)  nominated, as persons who will become directors of the corporation, the persons specified in the application as persons who will become directors on registration; and

(e)  if the application indicates that the corporation is expected to be a small or medium corporation in respect of the corporation's first financial year - nominated, as a person who will become a contact person of the corporation, the person specified in the application as a person who will become contact person on registration; and

(f)  if the application indicates that the corporation is expected to be a large corporation in respect of the corporation's first financial year - nominated, as a person who will become the corporation's secretary, the person specified in the application as a person who will become the corporation's secretary on registration.

29-15(2)  
The document evidencing the agreement under paragraph (1)(c) must:

(a)  refer by section or subsection number (as appropriate) to the replaceable rules that will apply without modification to the corporation; and

(b)  set out the terms of the replaceable rules (if any) that are being modified or replaced by the proposed constitution.

SECTION 29-17   PRE-TRANSFER OF REGISTRATION REQUIREMENT  

29-17(1)  
A body corporate in relation to which an application is made under section 22-1 meets the pre-transfer of registration requirement if:

(a)  the members have by a resolution that has been passed at a meeting by at least 75% of the votes cast by members entitled to vote on the resolution:


(i) authorised the applicant to apply for the registration of the body as an Aboriginal and Torres Strait Islander corporation; and

(ii) approved the proposed constitution provided to the Registrar under subsection 29-20(2) as the constitution to be adopted by the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3; and

(iii) if the internal governance rules that would apply to the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3 will include one or more replaceable rules - agreed to those replaceable rules so applying; and

(iv) nominated, as persons who will become directors of the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the persons specified in the application as persons who will become directors on registration; and

(v) if the application indicates that the body is expected to be a small or medium corporation in respect of its first financial year - nominated, as a person who will become the contact person when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the person specified in the application as a person who will become the contact person on registration; and

(vi) if the application indicates that the body is expected to be a large corporation in respect of its first financial year - nominated, as a person who will become the secretary when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the person specified in the application as a person who will become the secretary on registration; and

(b)  the members were given at least 21 days notice of the meeting and the proposed resolution.

29-17(2)  
The document evidencing the agreement under subparagraph (1)(a)(iii) must:

(a)  refer by section or subsection number (as appropriate) to the replaceable rules that will apply without modification to the body when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3; and

(b)  set out the terms of the replaceable rules (if any) that are being modified or replaced by the proposed constitution.

SECTION 29-18   CREDITOR NOTICE REQUIREMENT  

29-18(1)  
If an application is made under section 23-1 to register an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ), the amalgamated corporation meets the creditor notice requirement if:

(a)  the applicant has given the Registrar a notice of intention to make the application; and

(b)  the applicant has, within 14 days after giving the Registrar the notice, published the following in accordance with subsection (2):


(i) a copy of the notice;

(ii) a statement informing substantial creditors of the amalgamating corporations that those creditors may, within the objection period, object under subsection (3) to the grant of the application;

(iii) such other information as is prescribed by the regulations for the purposes of this subparagraph; and

(c)  each of the amalgamating corporations has, during the objection period, taken reasonable steps to bring the following to the attention of persons who are, or who are likely to or who may become, substantial creditors of the corporation:


(i) the proposed amalgamation;

(ii) the right that substantial creditors of the corporation have under subsection (3) to object to the grant of the application made under section 23-1; and

(d)  the application under section 23-1 is made within 14 days after the end of the objection period.

Note 1:

For substantial creditor , see paragraph (5)(a).

Note 2:

For objection period , see paragraph (5)(b).

29-18(2)  
The material referred to in paragraph (1)(b) must be published:

(a)  in a national newspaper; or

(b)  for each State or Territory in which any of the amalgamating corporations has its registered office (if any) or carries on business or other operations - in a daily newspaper that circulates generally in that State or Territory.

If the material is published in a number of newspapers under paragraph (b), all of the publications must occur on the same day.

29-18(3)  
A substantial creditor of any of the amalgamating corporations may object to the grant of the application by:

(a)  lodging with the Registrar a written objection that contains the information prescribed by the regulations for the purposes of this paragraph; and

(b)  giving the applicant a copy of the objection; within the objection period.

29-18(4)  
A substantial creditor of an amalgamating corporation who has lodged an objection under subsection (3) may, by written notice to the Registrar, withdraw the objection.

29-18(5)  
For the purposes of this section:

(a)  a person is a substantial creditor of an amalgamating corporation if:


(i) the amalgamating corporation owes a debt, or debts, to the person; and

(ii) the amount of that debt, or the sum of the amounts of those debts, that is unsecured exceeds the amount prescribed by the regulations for the purposes of this subsection; and

(b)  the objection period is the period of 21 days after the day on which the material referred to in paragraph (1)(b) is published in accordance with subsection (2); and

(c)  an amalgamating corporation is taken to owe a debt to a person even if the debt is contingent or prospective.

SECTION 29-19   PRE-AMALGAMATION REQUIREMENTS  

29-19(1)  
If an application is made under section 23-1 to register an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ), the amalgamated corporation meets the pre-amalgamation requirements if the members of each of the amalgamating corporations have passed a special resolution:

(a)  authorising the applicant to apply for the registration of the amalgamated corporation to replace the amalgamating corporations; and

(b)  approving the proposed constitution provided to the Registrar under subsection 29-20(2) as the constitution to be the amalgamated corporation's constitution when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3; and

(c)  if the internal governance rules that would apply to the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3 will include one or more replaceable rules - agreeing to those replaceable rules so applying; and

(d)  nominating, as persons who will become directors of the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the persons specified in the application as persons who will become directors on registration; and

(e)  if the application indicates that the amalgamated corporation is expected to be a small or medium corporation in respect of its first financial year - nominating, as a person who will become a contact person of the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the person specified in the application as a person who will become the contact person on registration; and

(f)  if the application indicates that the amalgamated corporation is expected to be a large corporation in respect of its first financial year - nominating, as a person who will become the amalgamated corporation's secretary when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3, the person specified in the application as a person who will become the secretary on registration.

29-19(2)  
The document evidencing the agreement under paragraph (1)(c) must:

(a)  refer by section or subsection number (as appropriate) to the replaceable rules that will apply without modification to the amalgamated corporation when it becomes registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3; and

(b)  set out the terms of the replaceable rules (if any) that are being modified or replaced by the proposed constitution.

SECTION 29-20   INTERNAL GOVERNANCE RULES REQUIREMENT  

29-20(1)  
An Aboriginal and Torres Strait Islander corporation meets the internal governance rules requirement if the corporation's constitution complies with the requirements set out in section 66-1.

29-20(2)  
In addition, a copy of the corporation's proposed constitution must be lodged before the time the Registrar makes a decision under section 26-1 in respect of the application.

SECTION 29-25   NAME REQUIREMENT  
An Aboriginal and Torres Strait Islander corporation meets the name requirement if the corporation complies with the requirements set out in section 85-1.

Division 32 - Decisions on applications  

SECTION 32-1   SUCCESSFUL APPLICATIONS  

32-1(1)  
If the Registrar grants an application under section 21-1, 22-1 or 23-1 for registration of an Aboriginal and Torres Strait Islander corporation, the Registrar must:

(a)  register the Aboriginal and Torres Strait Islander corporation; and

(b)  register the corporation's constitution; and

(c)  issue a certificate to the applicant that states the following:


(i) the corporation's name and ICN;

(ii) that the corporation is registered under this Act;

(iii) the date of the registration.
Note:

Section 37-1 requires the Registrar to register the corporation as a small, medium or large corporation.

32-1(2)  
The Registrar must keep a record of the registration and the constitution.

32-1(3)  
A certificate under subsection (1) is not a legislative instrument.

SECTION 32-5   UNSUCCESSFUL APPLICATIONS  

32-5(1)  
If:

(a)  the Registrar does not grant the application; and

(b)  section 26-15 does not preclude the registration; the Registrar must, in writing:

(c)  notify the applicant of the decision within 28 days after the decision; and

(d)  invite the applicant to:


(i) make such changes in the application or accompanying material that will remove the grounds for refusal; and

(ii) advise the Registrar, within the time specified in the invitation, of any changes made or, if the changes are not made, of the reasons for the changes not being made.

32-5(2)  
If the Registrar is advised under subparagraph (1)(d)(ii), the Registrar must reconsider the application.

PART 2-4 - REGISTRATION OF AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION AS A SMALL, MEDIUM OR LARGE CORPORATION  

Division 37 - Registration of an Aboriginal and Torres Strait Islander corporation as a small, medium or large corporation  

SECTION 37-1   REGISTRAR TO REGISTER ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION AS A SMALL, MEDIUM OR LARGE CORPORATION  

37-1(1)  
On the registration of an Aboriginal and Torres Strait Islander corporation, the Registrar must register the corporation as a small, medium or large corporation.

Note:

The classification determines the reports the corporation has to prepare (see Chapter 7) and whether or not the corporation must have a registered office and a corporation secretary.

37-1(2)  
The Registrar may register the corporation as a small corporation only if:

(a)  the application for registration indicates; or

(b)  the Registrar is otherwise satisfied; that the corporation is likely to be a small corporation in respect of its first financial year.

Note:

Subsection 37-10(1) sets out the criteria for determining whether the corporation is a small corporation for a particular financial year.

37-1(3)  
The Registrar may register the corporation as a medium corporation only if:

(a)  the application for registration indicates; or

(b)  the Registrar is otherwise satisfied; that the corporation is likely to be a medium corporation in respect of its first financial year.

Note:

Subsection 37-10(2) sets out the criteria for determining whether the corporation is a medium corporation for a particular financial year.

37-1(4)  
The Registrar may register the corporation as a large corporation only if:

(a)  the application for registration indicates; or

(b)  the Registrar is otherwise satisfied; that the corporation is likely to be a large corporation in respect of its first financial year.

Note:

Subsection 37-10(3) sets out the criteria for determining whether the corporation is a large corporation for a particular financial year.

SECTION 37-5   REGISTRAR MAY ALTER REGISTERED SIZE OF CORPORATION AFTER REGISTRATION  

37-5(1)  
If the Registrar is satisfied that an Aboriginal and Torres Strait Islander corporation that is registered as a small corporation was in fact a medium or large corporation for the most recent financial year, the Registrar may alter the corporation's registration so that the corporation is registered as a medium or large corporation.

37-5(2)  
If the Registrar is satisfied that an Aboriginal and Torres Strait Islander corporation that is registered as a medium corporation was in fact a small or large corporation for the most recent financial year, the Registrar may alter the corporation's registration so that the corporation is registered as a small or large corporation.

37-5(3)  
If the Registrar is satisfied that an Aboriginal and Torres Strait Islander corporation that is registered as a large corporation was in fact a small or medium corporation for the most recent financial year, the Registrar may alter the corporation's registration so that the corporation is registered as a small or medium corporation.

37-5(4)  
An alteration to an Aboriginal and Torres Strait Islander corporation's registration made under subsection (1), (2) or (3) is not a legislative instrument.

37-5(5)  
The Registrar must notify an Aboriginal and Torres Strait Islander corporation in writing of an alteration made under this section.

SECTION 37-10   SMALL, MEDIUM AND LARGE CORPORATIONS   Small corporations

37-10(1)  
An Aboriginal and Torres Strait Islander corporation is a small corporation for a financial year if it satisfies at least 2 of the following paragraphs:

(a)  the consolidated gross operating income for the financial year of the corporation and the entities it controls (if any) is less than the amount prescribed in the regulations for the purposes of this paragraph;

(b)  the value of the consolidated gross assets at the end of the financial year of the corporation and the entities it controls (if any) is less than the amount prescribed in the regulations for the purposes of this paragraph;

(c)  the corporation and the entities it controls (if any) have, at the end of the financial year, fewer employees than the number of employees prescribed for the purposes of this paragraph.

Note:

A small corporation generally has reduced financial reporting requirements (see Chapter 7).

Medium corporations

37-10(2)  
Subject to subsection (3), an Aboriginal and Torres Strait Islander corporation is a medium corporation for a financial year if it satisfies at least 2 of the following paragraphs:

(a)  the consolidated gross operating income for the financial year of the corporation and the entities it controls (if any) is equal to or more than the amount prescribed under paragraph (1)(a);

(b)  the value of the consolidated gross assets at the end of the financial year of the corporation and the entities it controls (if any) is equal to or more than the amount prescribed under paragraph (1)(b);

(c)  the corporation and the entities it controls (if any) have, at the end of the financial year, a number of employees that is equal to or more than the number prescribed under paragraph (1)(c). Large corporations

37-10(3)  
An Aboriginal and Torres Strait Islander corporation is a large corporation for a financial year if it satisfies at least 2 of the following paragraphs:

(a)  the consolidated gross operating income for the financial year of the corporation and the entities it controls (if any) is equal to or more than the amount prescribed for the purposes of this paragraph;

(b)  the value of the consolidated gross assets at the end of the financial year of the corporation and the entities it controls (if any) is equal to or more than the amount prescribed for the purposes of this paragraph;

(c)  the corporation and the entities it controls (if any) have, at the end of the financial year, a number of employees that is equal to or more than the number of employees prescribed for the purposes of this paragraph. Native Title

37-10(4)  
The native title rights and interests held by a registered native title body corporate are to be disregarded in determining the value of the assets of a registered native title body corporate.

SECTION 37-15   WHEN AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION CONTROLS AN ENTITY  
In deciding, for the purposes of section 37-10, whether an Aboriginal and Torres Strait Islander corporation controls an entity, apply the accounting standards made for the purposes of paragraph 295(2)(b) of the Corporations Act.

SECTION 37-20   COUNTING EMPLOYEES  

37-20(1)  
The regulations may prescribe one or more methods for calculating the number of employees of Aboriginal and Torres Strait Islander corporations.

37-20(2)  
Without limiting subsection (1), regulations made under that subsection may specify:

(a)  that employees of a class are to be disregarded for the purposes of section 37-10; or

(b)  that employees of a class are to be taken into account by treating each employee as representing a specified fraction of an employee.

SECTION 37-25   ACCOUNTING STANDARDS  
In consolidating under section 37-10:

(a)  the consolidated gross operating income; and

(b)  the value of consolidated gross assets; apply the accounting standards in force at the relevant time (even if the standards do not otherwise apply to the financial year of some or all of the bodies concerned).

PART 2-5 - EFFECTS OF REGISTRATION  

Division 42 - Effects of registration  

SECTION 42-1   CORPORATION COMES INTO EXISTENCE ON REGISTRATION  
If an Aboriginal and Torres Strait Islander corporation is registered under Part 2-3 as a result of an application made under section 21-1, the Aboriginal and Torres Strait Islander corporation comes into existence as a body corporate with perpetual succession at the beginning of the day on which it is registered.

Note:

The corporation remains in existence until it is deregistered (see Chapter 12).

SECTION 42-3   EFFECT OF REGISTRATION OF EXISTING BODY CORPORATE UNDER PART 2-3  
If a body corporate is registered under Part 2-3 as an Aboriginal and Torres Strait Islander corporation as a result of an application made under section 22-1, registration under Part 2-3 does not:

(a)  create a new legal entity; or

(b)  affect the body's existing property, rights or obligations (except as against the members of the body in their capacity as members); or

(c)  render defective any legal proceedings by or against the body or its members.

Note:

The Aboriginal and Torres Strait Islander corporation remains in existence until it is deregistered (see Chapter 12).

SECTION 42-4   EFFECT OF REGISTRATION OF AMALGAMATED CORPORATION UNDER PART 2-3  

42-4(1)  
This section applies if an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) is registered under Part 2-3 as a result of an application made under section 23-1 to register the amalgamated corporation to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ).

42-4(2)  
The amalgamated corporation comes into existence as a body corporate with perpetual succession at the beginning of the day on which it is registered.

Note:

The amalgamated corporation remains in existence until it is deregistered (see Chapter 12).

42-4(3)  
On registration:

(a)  the assets of each of the amalgamating corporations cease to be assets of the amalgamating corporation and become assets of the amalgamated corporation without any conveyance, transfer or assignment and the amalgamated corporation becomes the amalgamating corporation's successor in law in relation to those assets; and

(b)  the liabilities of each of the amalgamating corporations cease to be liabilities of the amalgamating corporations and become liabilities of the amalgamated corporation and the amalgamated corporation becomes the amalgamating corporation's successor in law in relation to those liabilities; and

(c)  if any proceedings to which an amalgamating corporation was a party were pending in any court or tribunal immediately before registration - the amalgamated corporation is substituted for the amalgamating corporation as a party to the proceedings; and

(d)  any investigation that was commenced before registration in relation to an amalgamating corporation may be continued after registration as if the investigation were an investigation in relation to the amalgamated corporation; and

(e)  an act or thing done, or omitted to be done, before registration by or in relation to an amalgamating corporation is taken to have been done, or to have been omitted to be done, by or in relation to the amalgamated corporation; and

(f)  a reference in any document to an amalgamating corporation is taken to be a reference to the amalgamated corporation.

Note 1:

The Registrar deregisters the amalgamating corporations under subsection 546-10(3).

Note 2:

Paragraph (3)(e) has the effect, for example, that any regulatory action taken in relation to an amalgamating corporation under Part 10-3 may be continued as if that action had been taken in relation to the amalgamated corporation.

42-4(4)  
Paragraph (3)(e) does not apply to a determination under section 487-1 that an amalgamating corporation is to be under special administration.

42-4(5)  
To avoid doubt, if an asset of an amalgamating corporation was, immediately before registration, subject to a charge of any kind, the asset becomes the asset of the amalgamated corporation under subsection (3) subject to that charge.

42-4(6)  
Subsection (7) applies if:

(a)  any land vests in the amalgamated corporation under this section; and

(b)  there is lodged with a land registration official a certificate that:


(i) is signed by the Registrar; and

(ii) identifies the land, whether by reference to a map or otherwise; and

(iii) states that the land has become vested in the amalgamated corporation under this section.

42-4(7)  
The land registration official may:

(a)  register the matter in a way that is the same as, or similar to, the way in which dealings in land of that kind are registered; and

(b)  deal with, and give effect to, the certificate.

42-4(8)  
Subsection (9) applies if:

(a)  any asset other than land vests in the amalgamated corporation under this section; and

(b)  there is lodged with an assets official a certificate that:


(i) is signed by the Registrar; and

(ii) identifies the asset; and

(iii) states that the asset has become vested in the amalgamated corporation under this section.

42-4(9)  
The assets official may:

(a)  deal with, and give effect to, the certificate as if it were a proper and appropriate instrument for transactions in relation to assets of that kind; and

(b)  make such entries in the register as are necessary having regard to the effect of this section.

42-4(10)  
No stamp duty or other tax is payable under a law of a State or a Territory in respect of an exempt matter, or anything connected with an exempt matter.

42-4(11)  
The Registrar may certify in writing:

(a)  that a specified matter is an exempt matter; or

(b)  that a specified thing was connected with a specified exempt matter.

42-4(12)  
In all courts, and for all purposes (other than for the purposes of criminal proceedings), a certificate under subsection (11) is prima facie evidence of the matters stated in the certificate.

42-4(13)  
For the purposes of this section, an exempt matter is:

(a)  the vesting of an asset or liability under this section; or

(b)  the operation of this section in any other respect.

42-4(14)  
In this section:

asset
means:

(a)  any legal or equitable estate or interest in real or personal property, whether actual, contingent or prospective; and

(b)  any right, power, privilege or immunity, whether actual, contingent or prospective.

assets official
, in relation to an asset other than land, means the person or authority who, under a law of the Commonwealth, a State or a Territory, under a trust instrument or otherwise, has responsibility for keeping a register in relation to assets of the kind concerned.

land
means any legal or equitable estate or interest in real property, whether actual, contingent or prospective.

land registration official
, in relation to land, means the Registrar of Titles or other proper officer of the State or Territory in which the land is situated.

liability
means any liability, duty or obligation, whether actual, contingent or prospective.

SECTION 42-5   42-5   CORPORATION'S NAME  
An Aboriginal and Torres Strait Islander corporation's name on registration is the name specified in the certificate of registration.

SECTION 42-10   MEMBERS, DIRECTORS, CORPORATION SECRETARY AND CONTACT PERSON OF CORPORATION   Persons become members on registration

42-10(1)  
A person becomes a member of an Aboriginal and Torres Strait Islander corporation on registration of the corporation if:

(a)  

the corporation was registered as a result of an application made under section 21-1 and the person is specified in the application with the person's consent as a proposed member of the corporation; or

(b)  the corporation was registered as a result of an application made under section 22-1 for registration of a body corporate as an Aboriginal and Torres Strait Islander corporation under Part 2-3 and the person is a member of the body corporate immediately before registration of the corporation; or

(c)  the corporation was registered as a result of an application made under section 23-1 to register an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) under Part 2-3 to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ) and the person is a member of any of the amalgamating corporations immediately before the registration of the amalgamated corporation.

Note:

A member's name must be entered in the register of members (see section 180-5).

Persons become directors etc. on registration

42-10(1A)  
A person becomes a director, corporation secretary or contact person of an Aboriginal and Torres Strait Islander corporation on registration of the corporation if the person is specified in the application under section 21-1, 22-1 or 23-1 with his or her consent as a proposed director, corporation secretary or contact person of the corporation. If no contact person nominated in the application for registration

42-10(2)  
If:

(a)  an Aboriginal and Torres Strait Islander corporation is registered as a small or medium corporation; and

(b)  the application for registration does not specify a person to be the contact person for the corporation; the applicant becomes the contact person for the corporation on registration. If person nominated in application for registration as contact person without the person's consent

42-10(3)  
If:

(a)  a person is specified in an application for registration of an Aboriginal and Torres Strait Islander corporation as the contact person for the corporation; and

(b)  the person is specified without his or her consent; and

(c)  before registration, the Registrar becomes aware of that fact; the Registrar may determine, by notice in writing given to the applicant, that the applicant for registration is the contact person for the corporation on registration.

42-10(4)  
A determination under subsection (3) is not a legislative instrument.

SECTION 42-15   42-15   REGISTERED OFFICE  
If an Aboriginal and Torres Strait Islander corporation is registered as a large corporation, the address (if any) specified in the corporation's application for registration as the proposed registered office becomes the address of the corporation's registered office on registration.

SECTION 42-20   42-20   DOCUMENT ACCESS ADDRESS  
If an Aboriginal and Torres Strait Islander corporation is registered as a small or medium corporation, the address (if any) specified in the corporation's application for registration as the proposed document access address becomes the corporation's document access address on registration.

SECTION 42-25   CORPORATION MAY HAVE COMMON SEAL  

42-25(1)  
An Aboriginal and Torres Strait Islander corporation may have a common seal. If an Aboriginal and Torres Strait Islander corporation does have a common seal, the corporation must set out on it the corporation's name and ICN.

Note 1:

An Aboriginal and Torres Strait Islander corporation may make contracts and execute documents without using a seal (see sections 99-1 and 99-5).

Note 2:

For abbreviations that can be used on a seal, see section 85-10.

42-25(2)  
An Aboriginal and Torres Strait Islander corporation may have a duplicate common seal. The duplicate must be a copy of the common seal with the words "duplicate seal" added.

42-25(3)  
A person commits an offence if:

(a)  the person uses, or authorises the use of, a seal; and

(b)  the seal purports to be the common seal of an Aboriginal and Torres Strait Islander corporation or a duplicate; and

(c)  the seal does not comply with the requirements set out in subsection (1) or (2).

Penalty: 10 penalty units.

42-25(4)  
An offence against paragraph (3)(a) is an offence of strict liability.

Note:

For strict liability , see section 6.1 of the Criminal Code.

SECTION 42-30   VESTING OF PROPERTY IN CORPORATION ON REGISTRATION   Application of section

42-30(1)  
This section applies if an application is lodged to register an unincorporated body as an Aboriginal and Torres Strait Islander corporation. Personal property other than land

42-30(2)  
Upon registration, any personal property held by a person, in trust or otherwise, for or on behalf of the members of the body vests in the corporation. The property vests subject to any trust, covenant, contract or liability affecting the property (other than a trust for the members). Estate or interest in land

42-30(3)  
If:

(a)  a person holds an estate or interest in land, in trust or otherwise, for or on behalf of the members of the body; and

(b)  the body is registered; that person must, upon the registration, take all action required to vest the estate or interest in the corporation. The vesting is subject to any trust (other than a trust for the members), or any covenant, contract or liability affecting the estate or interest.

42-30(4)  
In subsection (2):

personal property
does not include property consisting of an estate or interest in land.

SECTION 42-35   BODY CORPORATE REGISTERED AS ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION (LIABILITY OF MEMBERS ON WINDING UP)  

42-35(1)  
This section applies if:

(a)  a body corporate is registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3 as a result of an application made under section 22-1; and

(b)  a person stopped being a member of a body corporate before it was registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3.

42-35(2)  
The person is to be treated as a past member of the Aboriginal and Torres Strait Islander corporation in applying Division 2 of Part 5.6 of the Corporations Act (as applied by section 526-35 of this Act) to a winding up of the Aboriginal and Torres Strait Islander corporation.

42-35(3)  
However, the person's liability to contribute to the Aboriginal and Torres Strait Islander corporation's property is further limited by this section to an amount sufficient for the following:

(a)  payment of debts and liabilities contracted by the body corporate before the day on which it was registered as an Aboriginal and Torres Strait Islander corporation under Part 2-3;

(b)  payment of the costs, charges and expenses of winding up the Aboriginal and Torres Strait Islander corporation, so far as those costs, charges and expenses relate to those debts and liabilities;

(c)  the adjustment of the rights between the contributories, so far as the adjustment relates to those debts and liabilities.

SECTION 42-40   BODY CORPORATE REGISTERED AS ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION (MODIFICATION BY REGULATIONS)  

42-40(1)  
The regulations may modify the operation of this Part in relation to an Aboriginal and Torres Strait Islander corporation registered under Part 2-3 as a result of an application made under section 22-1.

42-40(2)  
Regulations made for the purposes of subsection (1) must not:

(a)  increase, or have the effect of increasing, the maximum penalty forany offence; or

(b)  widen, or have the effect of widening, the scope of any offence.

SECTION 42-45   REGISTRATION OF AMALGAMATED CORPORATION (LIABILITY OF MEMBERS ON WINDING UP)  

42-45(1)  
This section applies if:

(a)  an Aboriginal and Torres Strait Islander corporation (the amalgamated corporation ) is registered under Part 2-3 as a result of an application made under section 23-1 to register the amalgamated corporation to replace 2 or more existing Aboriginal and Torres Strait Islander corporations (the amalgamating corporations ); and

(b)  a person stopped being a member of an amalgamating corporation before the registration of the amalgamated corporation.

42-45(2)  
The person is to be treated as a past member of the amalgamated corporation in applying Division 2 of Part 5.6 of the Corporations Act (as applied by section 526-35 of this Act) to a winding up of the amalgamated corporation.

42-45(3)  
However, the person's liability to contribute to the amalgamated corporation's property is further limited by this section to an amount sufficient for the following:

(a)  payment of debts and liabilities contracted by the amalgamating corporation before the registration of the amalgamated corporation;

(b)  payment of the costs, charges and expenses of winding up the amalgamated corporation, so far as those costs, charges and expenses relate to those debts and liabilities;

(c)  the adjustment of the rights between the contributories, so far as the adjustment relates to those debts and liabilities.

SECTION 42-50   REGISTRATION OF AMALGAMATED CORPORATION (MODIFICATION BY REGULATIONS)  

42-50(1)  
The regulations may modify the operation of this Part in relation to an Aboriginal and Torres Strait Islander corporation registered under Part 2-3 as a result of an application made under section 23-1.

42-50(2)  
Regulations made for the purposes of subsection (1) must not:

(a)  increase, or have the effect of increasing, the maximum penalty for any offence; or

(b)  widen, or have the effect of widening, the scope of any offence.

PART 2-6 - ARRANGEMENTS AND RECONSTRUCTIONS  

Division 45 - Application of Corporations Act arrangements and reconstructions provisions  

SECTION 45-1   APPLYING CORPORATIONS ACT ARRANGEMENTS AND RECONSTRUCTIONS PROVISIONS TO ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

45-1(1)  
The Corporations Act arrangements and reconstructions provisions apply to an Aboriginal and Torres Strait Islander corporation as if the following substitutions were made:


Substitutions to be made
Item For a reference to ... substitute a reference to ...
1 a Part 5.1 body an Aboriginal and Torres Strait Islander corporation
2 a body an Aboriginal and Torres Strait Islander corporation
3 a company an Aboriginal and Torres Strait Islander corporation
4 ASIC the Registrar
5 registered office registered office or document access address

Note:

If a number of Aboriginal and Torres Strait Islander corporations wish to amalgamate, it may be possible, in some circumstances, for them to proceed with the amalgamation by means of an application to the Registrar under Division 23 (as an alternative to applying to a court for an order under the applied Corporations Act arrangements and reconstructions provisions).

45-1(2)  
The Corporations Act arrangements and reconstructions provisions apply to an Aboriginal and Torres Strait Islander corporation:

(a)  only to the extent to which they are capable of applying to an Aboriginal and Torres Strait Islander corporation; and

(b)  with the modifications specified in the regulations.

45-1(3)  
Regulations made for the purposes of paragraph (2)(b) must not:

(a)  increase, or have the effect of increasing, the maximum penalty for any offence; or

(b)  widen, or have the effect of widening, the scope of any offence.

45-1(4)  


In this Act:

Corporations Act arrangements and reconstructions provisions
means:


(a) Part 5.1 of the Corporations Act (other than paragraph 411(17)(a), subsection 412(3) and (5) and section 414); and


(b) section 425, subsections 427(2) and (4), sections 428, 432 and 434 of, and Subdivision B of Division 90 of Schedule 2 to, that Act to the extent to which they are applied by subsection 411(9) of that Act; and


(c) the other provisions of that Act (including Parts 1.2, 5.8, 5.9 and 9.4 and Schedule 3 but not including Parts 1.1, 1.1A and 9.4A) to the extent to which they relate to the operation of Part 5.1 of that Act and the provisions referred to in paragraph (b) of this definition; and


(d) the regulations and rules made under that Act for the purposes of Part 5.1 of that Act and the provisions referred to in paragraphs (b) and (c) of this definition.

CHAPTER 3 - BASIC FEATURES OF AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  

PART 3-1 - INTRODUCTION  

Division 52 - Introduction  

SECTION 52-1   WHAT THIS CHAPTER IS ABOUT  

This Chapter deals with the internal governance rules, the minimum number of members requirement, names and thepowers of an Aboriginal and Torres Strait Islander corporation. It also deals with other basic matters affecting an Aboriginal and Torres Strait Islander corporation.

PART 3-2 - RULES DEALING WITH THE INTERNAL GOVERNANCE OF CORPORATIONS  

Division 57 - Introduction  

SECTION 57-1   WHAT THIS PART IS ABOUT  

The rules dealing with the internal governance of an Aboriginal and Torres Strait Islander corporation are of 4 kinds:

  • (a) common law rules; and
  • (b) rules in this Act that cannot be replaced by the corporation's constitution; and
  • (c) replaceable rules in this Act that may be modified or replaced by the corporation's constitution; and
  • (d) rules that are in the corporation's constitution.
  • Some of the rules in paragraph (d):

  • (a) may be required by this Act to be in the constitution; or
  • (b) may be there to modify or replace a replaceable rule; or
  • (c) may be there as a special rule applying to that particular corporation.
  • This Part deals with the rules in paragraphs (c) and (d) and refers to them as internal governance rules of the corporation (see section 63-1).

    The corporation may choose to adopt all or some of the replaceable rules as rules of its internal governance.

    The corporation's internal governance rules must comply with the internal governance rules requirements (see Division 66).

    There are a number of ways the corporation's constitution may be changed. Any changes must comply with the internal governance rules requirements (see Division 69).

    Division 72 deals with other matters concerning constitutions.

    SECTION 57-5   57-5   LIST OF INTERNAL GOVERNANCE RULES  


    The following table sets out the main provisions of this Act that deal with the internal governance of Aboriginal and Torres Strait Islander corporations. The table indicates those rules that operate as replaceable rules and Division 60 tells you how replaceable rules operate.


    section 212-15
    this section is a replaceable rule
    Item Subject of provision Provision
    Chapter 3 - Basic features of an Aboriginal and Torres Strait Islander corporation
    1A Resolution of internal disputes subsection 66-1(3A)
    1B Resolution of disputes with persons who are or who claim to be common law holders subsection 66-1(3B)
    Chapter 4 - Members and observers
    1C Eligibility requirements for membership of registered native title body corporate section 141-25
    1 How does a person become a member? section 144-1
    2 Application to corporation section 144-5
    subsection (2) is a replaceable rule
    3 Determination of applications for membership section 144-10
    subsection (7) is a replaceable rule
    4 Fees for membership and being an observer section 144-15
    5 Obligation to contribute on winding up section 147-1
    6 Corporation may impose other membership obligations section 147-5
    7 Liability of corporation members section 147-10
    8 Cessation of membership section 150-1
    9 (Repealed No 38 of 2010)
    10 Resignation section 150-10
    subsection (2) is a replaceable rule
    11 General section 150-15
    12 Member of corporation that is not a registered native title body corporate not eligible for membership etc. section 150-20
    this section is a replaceable rule
    12A Member of registered native title body corporate not eligible for membership etc. section 150-22
    13 Member not contactable section 150-25
    14 Member is not an Aboriginal and Torres Strait Islander person section 150-30
    15 Member misbehaves section 150-35
    16 Different classes of members section 153-1
    17 Observers section 158-5
    subsection (2) is a replaceable rule
    18 What protections apply to variations or cancellations of class rights? Division 172
    19 Corporation or directors may allow member to inspect books section 175-15
    this section is a replaceable rule
    Chapter 5 - Meetings
    20 Director may call meetings section 201-1
    this section is a replaceable rule
    21 Request by members for directors to call general meetings section 201-5
    22 When must directors comply with members' request? section 201-10
    23 When must a requested meeting be held? section 201-15
    24 Amount of notice for general meeting section 201-20
    25 Notice of general meeting to members, officers and observers section 201-25
    subsections (2), (5) and (6) are replaceable rules
    26 Auditor entitled to notice and other communications section 201-30
    27 Contents of notice of general meeting section 201-35
    28 Members' resolutions section 201-40
    29 Notice of members' resolutions section 201-45
    30 Members' statements to be distributed section 201-50
    31 Purpose section 201-55
    32 Time and place for general meeting section 201-60
    33 Technology section 201-65
    34 Quorum section 201-70
    subsections (1), (2), (5) and (6) are replaceable rules
    35 Chairing general meeting section 201-75
    this section is a replaceable rule
    36 Auditor's right to be heard at general meetings section 201-80
    37 Adjourned meetings section 201-85
    subsection (2) is a replaceable rule
    38 Who may appoint a proxy section 201-90
    this section is a replaceable rule
    39 Rights of proxies section 201-95
    40 Appointing a proxy section 201-100
    41 Proxy documents section 201-105
    42 Body corporate representative section 201-110
    43 How many votes a member has section 201-115
    this section is a replaceable rule
    44 Objections to right to vote section 201-120
    this section is a replaceable rule
    45 How voting is carried out section 201-125
    this section is a replaceable rule
    46 Matters on which a poll may be demanded section 201-130
    47 When a poll is effectively demanded section 201-135
    48 When and how polls must be taken section 201-140
    this section is a replaceable rule
    49 Corporation must hold first general meeting within 3 months of registration section 201-145
    50 Corporation must hold AGM section 201-150
    51 Extension of time for holding AGM section 201-155
    52 Business of AGM section 201-160
    53 Questions and comments by members on corporation management at AGM section 201-165
    54 Questions by members of auditors at AGM section 201-170
    55 Circulating resolutions section 204-1
    56 Resolutions of 1 member corporations section 204-5
    57 Constitution to provide for meetings section 212-1
    58 Calling directors' meetings section 212-5
    this section is a replaceable rule
    59 Use of technology section 212-10
    60 Chairing directors' meetings
    61 Quorum at directors' meetings section 212-20
    62 Passing of directors' resolutions section 212-25
    this section is a replaceable rule
    63 Circulating resolutions of corporation with more than 1 director section 215-1
    this section is a replaceable rule
    64 Resolutions and declarations of 1 director corporation section 215-5
    65 Minutes section 220-5
    66 Members' access to minutes section 220-10
    Chapter 6 - Officers
    67 Minimum number of directors section 243-1
    68 Maximum number of directors section 243-5
    69 Eligibility for appointment as a director section 246-1
    70 Majority of director requirements section 246-5
    71 Consent to act as director section 246-10
    72 Corporation may appoint a director section 246-15
    this section is a replaceable rule
    73 Directors may appoint other directors to make up a quorum section 246-20
    this section is a replaceable rule
    74 Term of appointment section 246-25
    subsections (1) and (3) are replaceable rules
    75 Alternate directors section 246-30
    this section is a replaceable rule
    76 How does a person cease to be a director? section 249-1
    77 Director may resign section 249-5
    subsection (2) is a replaceable rule
    78 Removal by members section 249-10
    79 Removal by other directors section 249-15
    80 Remuneration section 252-1
    81 How a secretary or contact person is appointed section 257-20
    82 Terms and conditions of office for secretaries section 257-45
    this section is a replaceable rule
    83 Terms and conditions of contact person's appointment section 257-50
    this section is a replaceable rule
    84 Duties in relation to disclosure of, and voting on matters involving, material personal interests Division 268
    85 Powers of directors section 274-1
    this section is a replaceable rule
    86 Negotiable instruments section 274-5
    this section is a replaceable rule
    87 Delegation section 274-10
    88 Right of access to corporation books section 274-15
    89 Member approval needed for related party benefit Part 6-6

    Division 60 - What are the replaceable rules and when do they apply to a corporation?  

    SECTION 60-1   REPLACEABLE RULES   Which are the replaceable rules?

    60-1(1)  
    A section or subsection whose heading contains the words "replaceable rule - see section 60-1" is a replaceable rule. To which corporations do the replaceable rules apply?

    60-1(2)  
    The replaceable rules apply to:

    (a)  an Aboriginal and Torres Strait Islander corporation (not being a corporation to which paragraph (b) applies) that is registered on or after the day this section commences (the commencing day ); and

    (b)  an Aboriginal and Torres Strait Islander corporation:


    (i) that was registered under the Aboriginal Councils and Associations Act 1976 as an Aboriginal corporation immediately before the commencing day; and

    (ii) that repeals its constitution after the commencing day;

    except to the extent to which the rules are modified or replaced by the corporation's constitution as provided for in section 60-5.

    SECTION 60-5   60-5   CORPORATION'S CONSTITUTION CAN MODIFY OR REPLACE REPLACEABLE RULES  
    A provision of a section or subsection of a replaceable rule that applies to an Aboriginal and Torres Strait Islander corporation can be modified or replaced by the corporation's constitution.

    Note:

    In modifying or replacing a replaceable rule, an Aboriginal and Torres Strait Islander corporation must ensure that the matter covered by the original replaceable rule is provided for in the corporation's constitution. If it is not, then the constitution may not be covering the matters provided for in the replaceable rules (see section 66-1).

    SECTION 60-10   EFFECT OF CONSTITUTION AND REPLACEABLE RULES  

    60-10(1)  
    An Aboriginal and Torres Strait Islander corporation's constitution, and any replaceable rules that apply to the corporation, have effect as a contract:

    (a)  between the corporation and each member; and

    (b)  between the corporation and each director and corporation secretary; and

    (c)  between a member and each other member.

    60-10(2)  
    Under the contract, each person agrees to observe and perform the requirements of the constitution and rules so far as they apply to that person.

    SECTION 60-15   60-15   FAILURE TO COMPLY WITH REPLACEABLE RULES  
    A failure to comply with the replaceable rules as they apply to an Aboriginal and Torres Strait Islander corporation is not of itself a contravention of this Act (so the provisions about criminal liability, civil liability and injunctions do not apply).

    SECTION 60-20   MODIFICATION BY REGULATIONS  

    60-20(1)  
    The regulations may modify the replaceable rules in relation to:

    (a)  a specified Aboriginal and Torres Strait Islander corporation; or

    (b)  a specified class of Aboriginal and Torres Strait Islander corporation.

    60-20(2)  
    Without limiting subsection (1), the regulations may:

    (a)  modify or repeal the replaceable rules; and

    (b)  set out new replaceable rules.

    Division 63 - What are the internal governance rules of a corporation?  

    SECTION 63-1   63-1   MEANING OF INTERNAL GOVERNANCE RULES  
    The following constitute the internal governance rules of an Aboriginal and Torres Strait Islander corporation:

    (a)  the replaceable rules (if any) applying to the corporation;

    (b)  the rules (if any) in the corporation's constitution that modify or replace some or all of the replaceable rules;

    (c)  

    the rules (if any) in the corporation's constitution providing for the resolution of disputes between the corporation and persons who are or who claim to be common law holders of native title;

    (d)  

    the other rules dealing with the internal governance of the corporation that are in the corporation's constitution.

    Division 66 - What are the internal governance Rrules requirements?  

    SECTION 66-1   REQUIREMENTS  

    66-1(1)  
    The following are the internal governance rules requirements for an Aboriginal and Torres Strait Islander corporation.

    66-1(2)  
    The corporation must have a constitution written in English that sets out the corporation's objects.

    66-1(3)  
    The corporation's constitution must cover the matters that this Act specifies must be covered in the corporation's constitution.

    66-1(3A)  
    The corporation's constitution must provide for the resolution of disputes internal to the operation of the corporation.

    66-1(3B)  


    If:

    (a)  the application for registration of the corporation seeks registration for the purpose of becoming a registered native title body corporate; or

    (b)  the corporation is a registered native title body corporate;

    the corporation's constitution must provide for the resolution of disputes between the corporation and a person who is or who claims to be a common law holder of native title (whether or not the person is a member of the corporation) in relation to:

    (c)  whether or not the person is a common law holder of native title; or

    (d)  the corporation's performance of its functions under the Native Title legislation.

    66-1(4)  
    The internal governance rules must cover the matters that are provided for in the replaceable rules (see section 66-5).

    66-1(5)  
    The internal governance rules must also be:

    (a)  internally consistent; and

    (b)  adequate and workable, given the context in which the corporation operates; and

    (c)  consistent with this Act; and

    (d)  

    consistent with the Native Title legislation if:

    (i) the application for registration of the corporation seeks registration for the purpose of becoming a registered native title body corporate; or

    (ii) the corporation is a registered native title body corporate.

    66-1(6)  
    The corporation must meet the requirements at all times after registration.

    Note 1:

    An application for registration of an Aboriginal and Torres Strait Islander corporation may not be successful unless the corporation, on registration, is complying with the requirements (see section 29-20).

    Note 2:

    If an Aboriginal and Torres Strait Islander corporation is making a change to its constitution and the Registrar is of the opinion that the corporation's internal governance rules, after the change, would not comply with the internal governance rules requirements, the Registrar may refuse to register the change (see section 69-30).

    SECTION 66-5   MEANING OF cover the matters provided for in the replaceable rules   If all replaceable rules apply or all are replaced

    66-5(1)  
    The internal governance rules of an Aboriginal and Torres Strait Islander corporation cover the matters provided for in the replaceable rules if:

    (a)  all of the replaceable rules apply to the corporation; or

    (b)  none of the replaceable rules apply to the corporation and the corporation's constitution covers all of the matters provided for in the replaceable rules. If some replaceable rules apply and some are modified or replaced

    66-5(2)  
    The internal governance rules of an Aboriginal and Torres Strait Islander corporation also cover the matters provided for in the replaceable rules if:

    (a)  some of the replaceable rules apply to the corporation; and

    (b)  the corporation's constitution provides for the matters covered by the replaceable rules that the corporation has modified or replaced. Corporation may also have other rules unrelated to the replaceable rules in its constitution

    66-5(3)  
    To avoid doubt, and subject to the internal governance rules requirements, nothing in this Part precludes the constitution of an Aboriginal and Torres Strait Islander corporation providing for a matter that is in addition to those matters provided for in the replaceable rules. Regulations may modify section

    66-5(4)  
    The regulations may modify this section.

    66-5(5)  
    Without limiting subsection (4), the regulations may provide for further situations in which the internal governance rules of an Aboriginal and Torres Strait Islander corporation cover the matters provided for in the replaceable rules .

    Division 69 - Constitutions and amendment and replacement of constitutions  

    Subdivision 69-A - Constitution on registration  

    SECTION 69-1   CONSTITUTION OF AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  

    69-1(1)  
    The constitution of an Aboriginal and Torres Strait Islander corporation is the constitution that is registered in respect of the corporation.

    Note:

    75% of the persons specified in the application for registration as persons who consent to become members must approve the constitution before the application for registration is lodged (see section 29-15).

    69-1(2)  
    A constitution is an instrument (other than this Act):

    (a)  constituting, or defining the constitution of, an Aboriginal and Torres Strait Islander corporation; or

    (b)  governing the activities of such a corporation or its members.

    Subdivision 69-B - Constitutional changes after registration  

    SECTION 69-5   OVERVIEW - WAYS A CONSTITUTION MAY BE CHANGED   Corporation wants to change its constitution

    69-5(1)  
    For an Aboriginal and Torres Strait Islander corporation to change its constitution, the following steps must be complied with:

    (a)  the corporation must pass a special resolution effecting the change;

    (b)  if, under the corporation's constitution, there are further steps that must also be complied with to make a constitutional change - those steps must be complied with (see section 69-15);

    (c)  the corporation must lodge certain documents (see section 69-20);

    (d)  the Registrar must make certain decisions in respect of the constitutional change and, if appropriate, must register the change (see section 69-30).

    Note:

    The constitutional change takes effect when it is registered (see section 69-40).

    Court may change a constitution

    69-5(2)  
    The court may also change an Aboriginal and Torres Strait Islander corporation's constitution (see section 166-5).

    Note:

    The constitutional change takes effect as provided for in paragraph 69-40(b).

    Registrar may change a constitution

    69-5(3)  
    The Registrar may also change an Aboriginal and Torres Strait Islander corporation's constitution (see section 69-35).

    Note 1:

    If the Registrar changes a constitution under section 69-35, the steps subsection in (1) of this section do not apply.

    Note 2:

    The constitutional change takes effect when it is registered (see section 69-40).

    Special administrator may change a constitution

    69-5(4)  
    A special administrator for an Aboriginal and Torres Strait Islander corporation may also change the corporation's constitution (see section 499-5).

    Note 1:

    If the special administrator changes a constitution under section 499-5, the steps in paragraphs (1)(a), (b) and (c) of this section do not apply (but the administrator must lodge the change with the Registrar under section 69-25 and the Registrar must take the steps in section 69-30).

    Note 2:

    The constitutional change takes effect when it is registered (see section 69-40).

    SECTION 69-10   MEANING OF constitutional change etc.  

    69-10(1)  
    For the purposes of this Act, an Aboriginal and Torres Strait Islander corporation's constitution is changed if:

    (a)  the constitution is repealed and a new constitution is substituted; or

    (b)  a provision of the constitution is repealed and a new provision is substituted; or

    (c)  a provision of the constitution is repealed; or

    (d)  a new provision is added to the constitution; or

    (e)  a provision of the constitution is modified.

    69-10(2)  
    The particular constitutional change is:

    (a)  in the case of paragraph (1)(a) - the new constitution; and

    (b)  in the case of paragraphs (1)(b) and (d) - the repeal (if any) and the new provision; and

    (c)  in the case of paragraph (1)(c) - the repeal; and

    (d)  in the case of paragraph (1)(e) - the modification.

    SECTION 69-15   EXTRA REQUIREMENTS FOR CONSTITUTIONAL CHANGE IN CONSTITUTION  

    69-15(1)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide that a change to its constitutiondoes not have any effect unless a requirement specified in the constitution relating to that constitutional change has been complied with.

    69-15(2)  
    Unless the constitution provides otherwise, the corporation may modify or repeal a requirement described in subsection (1) only if the requirement is itself complied with.

    Note:

    Section 69-40 deals with when the constitutional change takes effect.

    SECTION 69-20   CORPORATION TO LODGE COPY OF CONSTITUTIONAL CHANGES  

    69-20(1)  
    If no requirement of a kind mentioned in section 69-15 is specified in the corporation's constitution, within 28 days after the special resolution is passed, the corporation must lodge with the Registrar:

    (a)  a copy of the special resolution; and

    (b)  a copy of those parts of the minutes of the meeting at which the special resolution was passed that relate to the passing of the special resolution; and

    (c)  a directors' statement (see subsection (5)); and

    (d)  a copy of the constitutional change.

    Penalty: 5 penalty units.

    69-20(2)  
    If a constitutional change is not to have effect until a requirement specified in the corporation's constitution has been complied with, the corporation must lodge the documents referred to in subsection (1) in addition to proof that the requirement has been met within 28 days after the requirement has been met.

    Penalty: 5 penalty units.

    69-20(3)  
    An offence against subsection (1) or (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    69-20(4)  
    The Registrar may direct the corporation to lodge a consolidated copy of the corporation's constitution. The consolidation must set out the constitution as it will be if the Registrar registers the constitutional change.

    69-20(5)  
    A directors' statement is a statement signed by:

    (a)  2 directors of the corporation; or

    (b)  if there is only 1 director - that director;

    to the effect that the special resolution was passed in accordance with the internal governance rules.

    Note:

    A secretary of an Aboriginal and Torres Strait Islander corporation may be liable for a civil penalty for a contravention of subsection (1) or (2). See sections 265-40 and 386-10.

    SECTION 69-25   SPECIAL ADMINISTRATOR TO LODGE COPY OF CONSTITUTIONAL CHANGES  
    If the special administrator of an Aboriginal and Torres Strait Islander corporation changes the corporation's constitution under section 499-5, the special administrator must lodge a copy of the change with the Registrar.

    SECTION 69-30   REGISTRAR TO DETERMINE IF CONSTITUTIONAL CHANGE SHOULD BE REGISTERED   Registrar to decide

    69-30(1)  
    The Registrar must decide whether to register a constitutional change lodged under section 69-20 or 69-25. Changed internal governance rules must comply with the internal governance rules requirement

    69-30(2)  
    The Registrar must not register the change unless the Registrar is satisfied that, with the constitutional change, the internal governance rules of the corporation would comply with the internal governance rule requirements. Proposed change after Registrar's change

    69-30(3)  
    In addition to being satisfied as required by subsection (2), the Registrar must not register a constitutional change lodged after the Registrar has changed the constitution under section 69-35 unless the Registrar is satisfied that:

    (a)  the lodged change is consistent with the change made by the Registrar, taking into account the Registrar's reasons for making that change; and

    (b)  the reasons for the Registrar making that change are no longer applicable. If Registrar is not satisfied

    69-30(4)  
    If the Registrar is not satisfied as required by this section, the Registrar must:

    (a)  refuse to register the change; and

    (b)  notify the corporation or special administrator concerned in writing of the decision within 28 days after that decision. If Registrar is satisfied

    69-30(5)  
    If the Registrar is satisfied as required by this section, the Registrar must register the change within 28 days after making the decision.

    SECTION 69-35   REGISTRAR MAY CHANGE AN ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION'S CONSTITUTION ON OWN INITIATIVE  

    69-35(1)  
    The Registrar may, on his or her own initiative, change an Aboriginal and Torres Strait Islander corporation's constitution in the circumstances set out in subsection (2) or (3).

    69-35(2)  
    The Registrar may change the constitution if the Registrar is satisfied that the corporation is not meeting the internal governance rules requirements.

    Note:

    Section 66-1 sets out the requirements.

    69-35(3)  
    The Registrar may change the constitution if the Registrar is satisfied that:

    (a)  the conduct of the corporation's affairs; or

    (b)  an actual or proposed act or omission by or on behalf of the corporation; or

    (c)  a resolution, or a proposed resolution, of members or a class of members of the corporation;

    is either:

    (d)  contrary to the interests of the members as a whole; or

    (e)  oppressive to, unfairly prejudicial to, or unfairly discriminatory against, a member or members whether in that capacity or in any other capacity.

    69-35(4)  
    The changes that the Registrar may make are the changes that the Registrar considers appropriate having regard to the internal governance rules requirements and the circumstances of the particular corporation.

    69-35(5)  
    If the corporation is a registered native title body corporate, the Registrar must not change the constitution on the basis of:

    (a)  an act (or omission from doing an act); or

    (b)  a proposed act (or omission from doing an act);

    if an officer or employee of the corporation does (or refrains from doing), or proposes to do (or refrain from doing), the act:

    (c)  in good faith; and

    (d)  with the belief that doing (or refraining from doing) the act is necessary to ensure that the corporation complies with a Native Title legislation obligation.

    69-35(6)  
    The Registrar makes the change by registering it.

    69-35(7)  
    If the Registrar changes the constitution, the Registrar must give the corporation written notice within 28 days after registration of the changes:

    (a)  stating that the Registrar has changed the constitution; and

    (b)  setting out the terms of the change.

    69-35(8)  
    In making a change under this section, the Registrar does not have to comply with paragraph 69-5(1)(a) (special resolution), section 69-15 (satisfying extra requirements in constitution), section 69-20 (corporation to lodge copy of changes) or section 69-30 (Registrar to determine if constitutional change should be registered).

    SECTION 69-40   69-40   DATE OF EFFECT OF CONSTITUTIONAL CHANGE  
    A constitutional change takes effect:

    (a)  if it is the result of a special resolution - on the day the change is registered; or

    (b)  if it is the result of a Court order made under section 166-5:


    (i) on the date on which the order is made if it specifies no later date; or

    (ii) on a date specified by the order; or

    (c)  if the Registrar has made the change - on the day the change is registered; or

    (d)  if a special administrator has made the change - on the day the change is registered.

    Division 72 - Other matters concerning constitutions etc.  

    SECTION 72-1   REGISTRAR MAY DIRECT CORPORATION TO LODGE CONSTITUTION  

    72-1(1)  
    The Registrar may direct an Aboriginal and Torres Strait Islander corporation to lodge a copy of its constitution.

    Note:

    Under section 322-5, an Aboriginal and Torres Strait Islander corporation must keep an up-to-date copy of its constitution.

    72-1(2)  
    A direction made under subsection (1) is not a legislative instrument.

    SECTION 72-5   CORPORATION MUST PROVIDE GOVERNANCE MATERIAL TO MEMBERS   Corporation must provide member with constitution etc.

    72-5(1)  
    If a member of an Aboriginal and Torres Strait Islander corporation asks for a copy of the corporation's constitution or internal governance framework rules, the corporation must provide to the member a copy of the corporation's internal governance framework rules:

    (a)  free of charge; and

    (b)  within 7 days.

    Penalty: 5 penalty units.

    72-5(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    Registered office

    72-5(3)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must make available for inspection by members and officers at its registered office, its internal governance framework rules. The rules must be available for inspection each business day from at least 10 am to 12 noon and from at least 2 pm to 4 pm.

    Note:

    Failure to comply with this subsection is an offence under section 376-1.

    Document access address

    72-5(4)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation must make available for inspection by members and officers at its document access address, its internal governance framework rules. The rules must be made available for inspection within 7 days of a member's or officer's written request for inspection.

    Note:

    Failure to comply with this subsection is an offence section under 376-1.

    72-5(5)  
    A corporation must make rules available under subsections (3) and (4) free of charge.

    Penalty: 5 penalty units.

    72-5(6)  
    An offence against subsection (5) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    72-5(7)  
    The internal governance framework rules of an Aboriginal and Torres Strait Islander corporation are:

    (a)  the corporation's constitution; and

    (b)  any replaceable rules that apply to the corporation; and

    (c)  any other material concerning the internal governance of the corporation that is prescribed.

    SECTION 72-10   CONSTITUTION MAY LIMIT POWERS  

    72-10(1)  
    An Aboriginal and Torres Strait Islander corporation's constitution may contain an express restriction on, or a prohibition of, the corporation's exercise of any of its powers. The exercise of a power by the corporation is not invalid merely because it is contrary to an express restriction or prohibition in the corporation's constitution.

    72-10(2)  
    An act of the corporation is not invalid merely because it is contrary to or beyond the objects set out in the corporation's constitution.

    PART 3-3 - MINIMUM NUMBER OF MEMBERS OF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

    Division 77 - Minimum number of members of Aboriginal and Torres Strait Islander corporations  

    SECTION 77-1   WHAT THIS PART IS ABOUT  

    This Part deals with the minimum number of members that an Aboriginal and Torres Strait Islander corporation must have.

    SECTION 77-5   MINIMUM NUMBER OF MEMBERS REQUIREMENT   Minimum number of members

    77-5(1)  
    An Aboriginal and Torres Strait Islander corporation must have the following minimum number of members:

    (a)  at least 5 members; or

    (b)  the lesser number of members determined under subsection (2), (3) or (4). Request in application for registration for exemption from at least 5 members

    77-5(2)  
    If:

    (a)  an application for registration of an Aboriginal and Torres Strait Islander corporation is to be made; and

    (b)  the corporation is to have fewer than 5 members;

    the applicant for registration must, in the application under section 21-1, request that the Registrar:

    (c)  exempt the corporation from having at least 5 members; and

    (d)  determine the corporation to have the lesser minimum number of members specified in the application. Request after registration if determination under subsection (2) is in force

    77-5(3)  
    If:

    (a)  the Registrar has determined a lesser number of members under subsection (2) in respect of an Aboriginal and Torres Strait Islander corporation and the determination is in force; and

    (b)  after registration of the corporation, the corporation wants to have fewer members than the number determined;

    the corporation may request the Registrar in writing to:

    (c)  exempt the corporation from having the number previously determined; and

    (d)  determine the corporation to have the lesser minimum number of members specified in the application. Request after registration if no determination under subsection (2) is in force

    77-5(4)  
    If:

    (a)  an Aboriginal and Torres Strait Islander corporation is required to have at least 5 members; and

    (b)  after registration of the corporation, the corporation wants to have fewer than 5 members;

    the corporation may request the Registrar in writing to:

    (c)  exempt the corporation from having at least 5 members; and

    (d)  determine the corporation to have the lesser minimum number of members specified in the application.

    SECTION 77-10   77-10   REGISTRAR MAY EXEMPT IF APPROPRIATE AND REASONABLE TO DO SO  
    The Registrar may grant an exemption on a request under subsection 77-5(2), (3) or (4) and allow a lesser number if the Registrar is satisfied that it is appropriate and reasonable in the circumstances to do so.

    Note:

    For example, the Registrar may grant an exemption if the corporation was formed as a result of a court order.

    SECTION 77-15   77-15   REGISTRAR MAY DETERMINE A DIFFERENT NUMBER TO NUMBER REQUESTED  
    In determining a lesser minimum number of members on a request under subsection 77-5(2), (3) or (4), the Registrar may determine a number that is higher or lower than the number requested (so long as the number is less than 5).

    SECTION 77-20   77-20   EARLIER DETERMINATION TAKEN TO BE REVOKED  
    If the Registrar grants an exemption on a request under subsection 77-5(3), the determination referred to in paragraph 77-5(3)(a) is taken to be revoked.

    SECTION 77-25   NOTICE TO BE GIVEN  

    77-25(1)  
    If the Registrar grants an exemption under section 77-10, the Registrar must notify the applicant or corporation, as the case may be, in writing of the exemption and the minimum number of members that the corporation is instead required to have.

    77-25(2)  
    If the Registrar does not grant the exemption, the Registrar must notify the applicant or corporation, as the case may be, in writing that the exemption has not been granted.

    PART 3-4 - NAMES  

    Division 82 - Introduction  

    SECTION 82-1   WHAT THIS PART IS ABOUT  

    This Part deals with the names requirement (Division 85) and how a name is changed (Division 88).

    Division 85 - What names may a corporation have?  

    SECTION 85-1   CORPORATION'S NAME REQUIREMENTS  

    85-1(1)  
    The requirements concerning an Aboriginal and Torres Strait Islander corporation's name are set out in the following subsections.

    85-1(2)  
    The corporation may have as its name:

    (a)  a name that is available (see section 85-5); or

    (b)  the expression "Indigenous Corporation Number" followed by the corporation's ICN.

    85-1(3)  
    The corporation must have as part of its name one of the following sets of words:

    (a)  "Aboriginal corporation";

    (b)  "Torres Strait Islander corporation";

    (c)  "Aboriginal and Torres Strait Islander corporation";

    (d)  "Torres Strait Islander and Aboriginal corporation";

    (e)  "Indigenous corporation".

    85-1(4)  
    If the corporation is a registered native title body corporate, then the corporation must also have as part of its name the words "registered native title body corporate".

    85-1(5)  
    If abbreviations are used in its name, the corporation must use only the abbreviations that are acceptable (see section 85-10).

    85-1(6)  
    If the corporation is not a registered native title body corporate the corporation must not:

    (a)  have the term "registered native title body corporate" as part of its name; or

    (b)  include the abbreviation "RNTBC" in its name.

    85-1(7)  
    The requirements must be met by an Aboriginal and Torres Strait Islander corporation at all times after registration.

    Note:

    The requirements must be complied with on registration of an Aboriginal and Torres Strait Islander corporation (see section 29-25).

    SECTION 85-5   AVAILABLE NAMES   Name is available unless identical or unacceptable

    85-5(1)  
    A name is available unless the name is:

    (a)  identical (under rules set out in the regulations) to a name that is:


    (i) used in an application for registration under this Act; or

    (ii) registered under this Act for another Aboriginal and Torres Strait Islander corporation; or

    (iii) registered under the Corporations Act; or

    (iv) reserved for a company under section 152 of the Corporations Act; or

    (b)  

    identical (under rules set out in the regulations) to a name that is held or registered on the Business Names Register in respect of another individual or body who is not the person applying to have the name; or

    (c)  unacceptable for registration under the regulations.

    Registrar may consent to a name being available

    85-5(2)  
    The Registrar may consent in writing to a name being available to a corporation even if the name is:

    (a)  

    identical to a name:

    (i) that is used in another current application for registration under this Act; or

    (ii) registered under this Act for another Aboriginal and Torres Strait Islander corporation; or

    (iii) registered under the Corporations Act; or

    (iv) reserved for a company under section 152 of the Corporations Act; or

    (v) that is held or registered on Business Names Register; or

    (b)  unacceptable for registration under the regulations.

    85-5(3)  
    The Registrar's consent may be given subject to conditions.

    Note:

    If the corporation breaches a condition, the Registrar may direct it to change its name under section 88-5.

    85-5(4)  
    The regulations may specify that a particular unacceptable name is available if:

    (a)  a specified public authority, or an instrumentality or agency of the Crown in right of the Commonwealth, a State or an internal Territory has consented to the corporation using or assuming the name; or

    (b)  the corporation is otherwise permitted to use or assume the name by or under:


    (i) an Act of the Commonwealth, a State or an internal Territory; or

    (ii) a specified provision of an Act of the Commonwealth, a State or an internal Territory.

    The consent of the authority, instrumentality or agency may be given subject to conditions.

    Note:

    If the consent is withdrawn, the corporation ceases to be permitted or the corporation breaches a condition, the Registrar may direct it to change its name under section 88-5.

    SECTION 85-10   ACCEPTABLE ABBREVIATIONS  

    85-10(1)  
    The abbreviations set out in the following table may be used:

    (a)  instead of words that this Act requires to be part of an Aboriginal and Torres Strait Islander corporation's name, or to be included in a document or on an Aboriginal and Torres Strait Islander corporation's common seal; and

    (b)  instead of words that are part of an Aboriginal and Torres Strait Islander corporation's name; and

    (c)  with or without full stops.


    Acceptable abbreviations
    Word Abbreviation
    1 Australian Aust
    2 Number No
    3 and &
    4 Indigenous Corporation Number ICN
    5 Australian Business Number ABN
    6 registered native title body corporate RNTBC

    85-10(2)  
    If an Aboriginal and Torres Strait Islander corporation's name includes any of these abbreviations, the word corresponding to the abbreviation may be used instead.

    SECTION 85-15   USING A NAME AND ICN ON DOCUMENTS  

    85-15(1)  
    An Aboriginal and Torres Strait Islander corporation must set out its name on all its public documents and negotiable instruments.

    85-15(2)  
    Subject to sections 85-20 and 85-25, if the corporation's ICN is not used in its name, the corporation must also set out with its name, or with one of the references to its name, the expression "Indigenous Corporation Number" followed by the corporation's ICN.

    85-15(3)  
    If the corporation's name appears on 2 or more pages of the document or instrument, this must be done on the first of those pages.

    Note 1:

    If an Aboriginal and Torres Strait Islander corporation has a common seal, its name and ICN must be set out on the seal (see section 42-25).

    Note 2:

    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must display its name at its registered office and at places at which the corporation carries on business (see section 112-15).

    Note 3:

    Section 85-10 provides that "ICN" is an acceptable abbreviation of "Indigenous Corporation Number".

    85-15(4)  
    An Aboriginal and Torres Strait Islander corporation commits an offence if it contravenes subsection (1), (2) or (3).

    Penalty: 10 penalty units.

    85-15(5)  
    An offence against subsection (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 85-20   85-20   EXCEPTION TO REQUIREMENT TO HAVE ICN ON RECEIPTS  
    An Aboriginal and Torres Strait Islander corporation does not have to set out the expression "Indigenous Corporation Number" followed by its ICN on a receipt (for example, a cash register receipt) that sets out information recorded in the machine that produced the receipt.

    SECTION 85-25   85-25   REGULATIONS MAY EXEMPT FROM REQUIREMENT TO SET OUT INFORMATION ON DOCUMENTS  
    The regulations may exempt an Aboriginal and Torres Strait Islander corporation, or a specified class of Aboriginal and Torres Strait Islander corporation, from the requirement in subsection 85-15(2) to set out information on its public documents and negotiable instruments.

    Division 88 - How is a corporation's name changed?  

    SECTION 88-1   CORPORATION CHANGING ITS NAME  

    88-1(1)  
    If an Aboriginal and Torres Strait Islander corporation wants to change its name, it must:

    (a)  pass a special resolution adopting a new name; and

    (b)  lodge an application in writing with the Registrar.

    88-1(2)  
    The corporation must lodge:

    (a)  a copy of the special resolution; and

    (b)  a copy of those parts of the minutes of the meeting at which the special resolution was passed that relate to the passing of the special resolution; with the Registrar within 28 days after the resolution is passed.

    Penalty: 5 penalty units.

    Note:

    A secretary of an Aboriginal and Torres Strait Islander corporation may be liable for a civil penalty for a contravention of this section. See sections 265-40 and 386-10.

    88-1(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    88-1(4)  
    If the proposed name complies with the requirements in section 85-1, the Registrar must change the corporation's name by altering the details of the corporation's registration to reflect the change. The change of name takes effect when the Registrar alters the details of the corporation's registration.

    SECTION 88-5   REGISTRAR'S POWER TO DIRECT CORPORATION TO CHANGE ITS NAME  

    88-5(1)  
    The Registrar may direct an Aboriginal and Torres Strait Islander corporation in writing to change its name within 2 months if:

    (a)  the name should not have been registered; or

    (b)  the corporation has breached a condition under subsection 85-5(3) on the availability of the name; or

    (c)  a consent given under subsection 85-5(4) to use or assume the name has been withdrawn; or

    (d)  the corporation has breached a condition on a consent given under subsection 85-5(4); or

    (e)  the corporation ceases to be permitted to use or assume the name (as referred to in paragraph 85-5(4)(b)).

    88-5(2)  
    The corporation must comply with the direction within 2 months after being given it by doing everything necessary to change its name under section 88-1.

    Penalty: 50 penalty units or 12 months imprisonment, or both.

    88-5(3)  
    If the corporation does not comply with subsection (2), the Registrar may change the corporation's name to its ICN and any other words that section 85-1 requires, by altering the details of the corporation's registration to reflect the change.

    88-5(4)  
    A change of name under subsection (3) takes effect when the Registrar alters the details of the corporation's registration.

    88-5(5)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    88-5(6)  
    A direction under subsection (1) is not a legislative instrument.

    SECTION 88-10   IF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION BECOMES A REGISTERED NATIVE TITLE BODY CORPORATE   Notice required

    88-10(1)  
    If an Aboriginal and Torres Strait Islander corporation becomes a registered native title body corporate, the corporation must, within 28 days after becoming registered, notify the Registrar in writing accordingly. Registrar to change registration

    88-10(2)  
    If:

    (a)  the Registrar is notified under subsection (1) that the corporation has become a registered native title body corporate; or

    (b)  the Registrar otherwise becomes aware of that fact;

    the Registrar must change the corporation's name by altering the details of the corporation's registration to include the words "registered native title body corporate" in the corporation's name.

    When name change takes effect

    88-10(3)  
    A change of name under subsection (2) takes effect when the Registrar alters the details of the corporation's registration.

    SECTION 88-15   IF ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION CEASES TO BE A REGISTERED NATIVE TITLE BODY CORPORATE   Notice required

    88-15(1)  
    If an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate ( RNTBC ) ceases to be a RNTBC, the corporation must, within 28 days after ceasing to be a RNTBC, notify the Registrar in writing accordingly. Registrar to change registration

    88-15(2)  
    If:

    (a)  the Registrar is notified under subsection (1) that the corporation has ceased to be a RNTBC; or

    (b)  the Registrar otherwise becomes aware of that fact;

    the Registrar must change the corporation's name by altering the details of the corporation's registration to delete the words "registered native title body corporate" from the corporation's name.

    When name change takes effect

    88-15(3)  
    A change of name under subsection (2) takes effect when the Registrar alters the details of the corporation's registration.

    SECTION 88-20   REGISTRAR MUST ISSUE NEW CERTIFICATE IF NAME CHANGES  

    88-20(1)  
    If the Registrar changes an Aboriginal and Torres Strait Islander corporation's name, he or she must give to the corporation a new certificate of registration. The corporation's new name is the name specified in the certificate of registration issued under this section.

    Note 1:

    An Aboriginal and Torres Strait Islander corporation's name may be changed under section 88-1, 88-5, 88-10 or 88-15.

    Note 2:

    For the evidentiary value of a certificate of registration, see subsection 424-5(2).

    88-20(2)  
    A certificate under subsection (1) is not a legislative instrument.

    SECTION 88-25   EFFECT OF NAME CHANGE  

    88-25(1)  
    The changing of an Aboriginal and Torres Strait Islander corporation's name does not:

    (a)  create a new legal entity; or

    (b)  affect the corporation's existing property, rights or obligations; or

    (c)  render defective any legal proceedings by or against the corporation.

    88-25(2)  
    Any legal proceedings that could have been continued or begun by or against the corporation in its former name may be continued or begun by or against it in its new name.

    PART 3-5 - CORPORATION POWERS AND HOW THEY ARE EXERCISED  

    Division 93 - Introduction  

    SECTION 93-1   WHAT THIS PART IS ABOUT  

    This Part deals with the legal capacity and powers of Aboriginal and Torres Strait Islander corporations.

    Division 96 - What are a corporation's powers?  

    SECTION 96-1   LEGAL CAPACITY AND POWERS  

    96-1(1)  
    An Aboriginal and Torres Strait Islander corporation has the legal capacity and powers of an individual within and outside Australia.

    96-1(2)  
    An Aboriginal and Torres Strait Islander corporation also has all the powers of a body corporate, including the power to, if the corporation's constitution permits, distribute any of the corporation's property among the members, in kind or otherwise.

    96-1(3)  
    An Aboriginal and Torres Strait Islander corporation's legal capacity to do something is not affected by the fact that the corporation's interests are not, or would not be, served by doing it.

    96-1(4)  
    For the avoidance of doubt, this section does not:

    (a)  authorise an Aboriginal and Torres Strait Islander corporation to do an act that is prohibited by a law of a State or Territory; or

    (b)  give an Aboriginal and Torres Strait Islander corporation a right that a law of a State or Territory denies to the corporation.

    Division 99 - How are a corporation's powers exercised?  

    SECTION 99-1   AGENT EXERCISING A CORPORATION'S POWER TO MAKE CONTRACTS ETC.  

    99-1(1)  
    An Aboriginal and Torres Strait Islander corporation's power to make, vary, ratify or discharge a contract may be exercised by an individual acting with the corporation's express or implied authority and on behalf of the corporation. The power may be exercised without using a common seal.

    99-1(2)  
    This section does not affect the operation of a law that requires a particular procedure to be complied with in relation to the contract.

    SECTION 99-5   EXECUTION OF DOCUMENTS (INCLUDING DEEDS) BY THE CORPORATION ITSELF  

    99-5(1)  
    An Aboriginal and Torres Strait Islander corporation may execute a document without using a common seal if the document is signed by:

    (a)  2 directors of the corporation; or

    (b)  a director and a corporation secretary (if any) of the corporation; or

    (c)  if the corporation has only 1 director - that director.

    Note:

    If an Aboriginal and Torres Strait Islander corporation executes a document in this way, people will be able to rely on the assumptions in subsection 104-5(6) for dealings in relation to the corporation.

    99-5(2)  
    An Aboriginal and Torres Strait Islander corporation with a common seal may execute a document if the seal is fixed to the document and the fixing of the seal is witnessed by:

    (a)  2 directors of the corporation; or

    (b)  a director and a corporation secretary of the corporation; or

    (c)  for an Aboriginal and Torres Strait Islander corporation that has only 1 director - that director.

    Note:

    If an Aboriginal and Torres Strait Islander corporation executes a document in this way, people will be able to rely on the assumptions in subsection 104-5(7) for dealings in relation to the corporation.

    99-5(3)  
    An Aboriginal and Torres Strait Islander corporation may execute a document as a deed if the document is expressed to be executed as a deed and is executed in accordance with subsection (1) or (2).

    99-5(4)  
    This section does not limit the ways in which an Aboriginal and Torres Strait Islander corporation may execute a document (including a deed).

    PART 3-6 - ASSUMPTIONS PEOPLE DEALING WITH ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS ARE ENTITLED TO MAKE  

    Division 104 - Assumptions people dealing with Aboriginal and Torres Strait Islander corporations are entitled to make  

    SECTION 104-1   ENTITLEMENT TO MAKE ASSUMPTIONS  

    104-1(1)  
    A person is entitled to make the assumptions in section 104-5 in relation to dealings with an Aboriginal and Torres Strait Islander corporation. The corporation is not entitled to assert in proceedings in relation to the dealings that any of the assumptions are incorrect.

    104-1(2)  
    A person is entitled to make the assumptions in section 104-5 in relation to dealings with another person who has, or purports to have, directly or indirectly acquired title to property from an Aboriginal and Torres Strait Islander corporation. The corporation and the other person are not entitled to assert in proceedings in relation to the dealings that any of the assumptions are incorrect.

    104-1(3)  
    The assumptions may be made even if an officer or agent of the corporation acts fraudulently, or forges a document, in connection with the dealings.

    104-1(4)  
    A person is not entitled to make an assumption in section 104-5 if at the time of the dealings the person knew or suspected that the assumption was incorrect.

    SECTION 104-5   ASSUMPTIONS THAT CAN BE MADE UNDER SECTION 104-1   Constitution and replaceable rules complied with

    104-5(1)  
    A person may assume that the corporation's constitution and any provisions of this Act that apply to the corporation as replaceable rules, have been complied with. Director or corporation secretary

    104-5(2)  
    A person may assume that anyone who appears, from information provided by the corporation that is available to the public from the Registrar, to be a director or a corporation secretary of the corporation:

    (a)  has been duly appointed; and

    (b)  has authority to exercise the powers and perform the duties customarily exercised or performed by a director or corporation secretary of a similar Aboriginal and Torres Strait Islander corporation. Contact person

    104-5(3)  
    A person may assume that anyone who appears, from information that is available to the public from the Registrar to be the contact person of the corporation, is the contact person. Officer or agent

    104-5(4)  
    A person may assume that anyone who is held out by the corporation to be an officer or agent of the corporation:

    (a)  has been duly appointed; and

    (b)  has authority to exercise the powers and perform the duties customarily exercised or performed by that kind of officer or agent of a similar Aboriginal and Torres Strait Islander corporation. Proper performance of duties

    104-5(5)  
    A person may assume that the officers and agents of the corporation properly perform their duties to the corporation. Document duly executed without seal

    104-5(6)  
    A person may assume that a document has been duly executed by the corporation if the document appears to have been signed in accordance with subsection 99-5(1). For the purposes of making the assumption, a person may also assume that anyone who signs the document and states next to his or her signature that he or she is the only director of the corporation is the only director of the corporation. Document duly executed with seal

    104-5(7)  
    A person may assume that a document has been duly executed by the corporation if:

    (a)  the corporation's common seal appears to have been fixed to the document in accordance with subsection 99-5(2); and

    (b)  the fixing of the common seal appears to have been witnessed in accordance with that subsection.

    For the purposes of making the assumption, a person may also assume that anyone who witnesses the fixing of the common seal and states next to his or her signature that he or she is the only director of the corporation is the only director of the corporation.

    Officer or agent with authority to warrant that document is genuine or true copy

    104-5(8)  
    A person may assume that an officer or agent of the corporation who has authority to issue a document or a certified copy of a document on its behalf also has authority to warrant that the document is genuine or is a true copy.

    104-5(9)  
    Without limiting the generality of this section, the assumptions that may be made under this section apply for the purposes of this section.

    SECTION 104-10   104-10   INFORMATION AVAILABLE TO THE PUBLIC FROM REGISTRAR DOES NOT CONSTITUTE CONSTRUCTIVE NOTICE  
    A person is not taken to have information about an Aboriginal and Torres Strait Islander corporation merely because the information is available to the public from the Registrar.

    PART 3-7 - REGISTERED OFFICE OR DOCUMENT ACCESS ADDRESS  

    Division 109 - Introduction  

    SECTION 109-1   WHAT THIS PART IS ABOUT  

    This Part deals with:

  • (a) the registered office of an Aboriginal and Torres Strait Islander corporation that is registered as a large corporation; and
  • (b) the document access address of an Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation.
  • Division 112 - Registered office  

    SECTION 112-1   GENERAL   Application of Division

    112-1(1)  
    This Division applies to an Aboriginal and Torres Strait Islander corporation if it is registered as a large corporation. Small and medium corporations not to have registered office

    112-1(2)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation must not have a registered office.

    SECTION 112-5   CORPORATION TO HAVE REGISTERED OFFICE  

    112-5(1)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must have a registered office in Australia.

    Note:

    A document may be served on a large corporation by leaving it at, or posting it to, the corporation's registered office (see section 120-1).

    112-5(2)  
    If the corporation has one or more places of business in Australia, one of those places must be its registered office.

    112-5(3)  
    The corporation must lodge notice of a change of address of its registered office with the Registrar not later than 28 days after the date on which the change occurs.

    Note:

    If the corporation is not to be the occupier of premises at the address of its new registered office, the notice must state that the occupier has consented to the address being specified in the notice and has not withdrawn that consent (see section 112-20).

    112-5(4)  
    A notice of change of address takes effect when the changed address is included on the Register of Aboriginal and Torres Strait Islander Corporations.

    112-5(5)  
    The corporation commits an offence if the corporation does not have a registered office in Australia.

    Penalty: 5 penalty units.

    112-5(6)  
    The corporation commits an offence if:

    (a)  the corporation has one or more places of business in Australia; and

    (b)  one of those places of business is not the corporation's registered office.

    Penalty: 5 penalty units.

    112-5(7)  
    The corporation commits an offence if:

    (a)  the corporation's registered office address changes; and

    (b)  the corporation does not lodge the notice required by subsection (3) within 28 days after the change.

    Penalty: 5 penalty units.

    112-5(8)  
    An offence against subsection (5) or (6) or paragraph (7)(b) is an offence of strict liability.

    Note 1:

    For strict liability , see section 6.1 of the Criminal Code.

    Note 2:

    A secretary of an Aboriginal and Torres Strait Islander corporation may be liable for a civil penalty for a contravention of subsection (5), (6) or (7). See sections 265-40 and 386-10.

    SECTION 112-10   REGISTRAR MAY CHANGE ADDRESS OF REGISTERED OFFICE TO A DIRECTOR'S ADDRESS  

    112-10(1)  
    If the corporation does not occupy the premises at the address of its registered office, the corporation must be able to show the Registrar the occupier's written consent to the corporation's use of those premises as its registered office.

    Note:

    The Registrar can require the corporation to produce the consent (see section 112-20).

    112-10(2)  
    The corporation commits an offence if it contravenes subsection (1).

    Penalty: 5 penalty units.

    112-10(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    112-10(4)  
    If the Registrar becomes aware that the occupier of those premises:

    (a)  has not consented to the use of the premises as the address of the corporation's registered office; or

    (b)  has withdrawn the consent;

    the Registrar may:

    (c)  give written notice to a director of the corporation who resides in Australia that the Registrar intends to change the address of the corporation's registered office to the director's address; and

    (d)  if the Registrar is not notified of the address of the corporation's proposed new registered office under section 112-5 within 14 days after the notice under that section is sent - change the address of the corporation's registered office to the address of that director.

    112-10(5)  
    A notice under paragraph (4)(c) is not a legislative instrument.

    SECTION 112-15   CORPORATION'S NAME MUST BE DISPLAYED  

    112-15(1)  
    The corporation must display its name and ICN prominently at its registered office. The corporation must also display its name and ICN at every place at which the corporation carries on business if that place is open to the public.

    112-15(2)  
    The corporation commits an offence if the corporation fails to prominently display its name and ICN:

    (a)  at its registered office; or

    (b)  at a place at which the corporation carries on business that is open to the public.

    Penalty: 10 penalty units.

    112-15(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 112-20   ADDRESS OF REGISTERED OFFICE ETC.  

    112-20(1)  
    If a provision of this Act requires a notice to be lodged of, or information in an application to specify:

    (a)  the address of an office, or of a proposed office, of an Aboriginal and Torres Strait Islander corporation or other person; or

    (b)  a change in the situation and address of an office of an Aboriginal and Torres Strait Islander corporation or other person;

    the notice or information must specify the matters set out in subsections (2) and (3).

    112-20(2)  
    The notice or information must specify the full address, or the full new address, as the case requires, of the relevant office including, where applicable, the number of the room and of the floor or level of the building in which the office is situated.

    112-20(3)  
    If:

    (a)  the notice or application relates to the address or situation of an office of an Aboriginal and Torres Strait Islander corporation; and

    (b)  the address specified in accordance with paragraph (1)(a) is the address of premises that the corporation will not occupy;

    the notice or information must include a written statement to the effect that the person who occupies those premises:

    (c)  has consented in writing to the address being specified in the notice or application; and

    (d)  has not withdrawn that consent.

    112-20(4)  
    The Registrar may require a person who has lodged a notice or application that includes a statement under subsection (3) to produce to the Registrar the consent referred to in the statement.

    112-20(5)  
    A requirement under subsection (4) is not a legislative instrument.

    Division 115 - Document access address  

    SECTION 115-1   115-1   DIVISION APPLIES TO ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS REGISTERED AS SMALL OR MEDIUM CORPORATIONS  
    This Division applies to an Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation.

    SECTION 115-5   CORPORATION TO HAVE DOCUMENT ACCESS ADDRESS  

    115-5(1)  
    The corporation must have a document access address in Australia.

    Note 1:

    Certain documents must be kept at this address and must be available for inspection at this address.

    Note 2:

    The document access address is not an address at which documents can be served on the corporation. See section 120-1 for the addresses at which documents can be served on the corporation.

    115-5(2)  
    The corporation must lodge notice of a change of address of its document access address with the Registrar not later than 28 days after the date on which the change occurs.

    Note:

    If the corporation is not to be the occupier of premises at the address of its document access address, the notice must state that the occupier has consented to the address being specified in the notice and has not withdrawn that consent (see section 115-20).

    115-5(3)  
    A notice of change of address takes effect from the later of:

    (a)  the seventh day after the notice was lodged; or

    (b)  a later day specified in the notice as the date from which the change is to take effect.

    115-5(4)  
    The corporation commits an offence if the corporation does not have a document access address in Australia.

    Penalty: 5 penalty units.

    115-5(5)  
    The corporation commits an offence if:

    (a)  the corporation's document access address changes; and

    (b)  the corporation does not lodge the notice required by subsection (2) within 28 days after the change.

    Penalty: 5 penalty units.

    115-5(6)  
    An offence against subsection (4) or paragraph (5)(b) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 115-10   REGISTRAR MAY CHANGE DOCUMENT ACCESS ADDRESS TO A DIRECTOR'S ADDRESS  

    115-10(1)  
    If the corporation does not occupy the premises at the address of its document access address, the corporation must be able to show the Registrar the occupier's written consent to the corporation's use of those premises as its document access address.

    Note:

    The Registrar can require the corporation to produce the consent (see section 115-20).

    115-10(2)  
    The corporation commits an offence if it fails to comply with a request by the Registrar to show the Registrar that consent.

    Penalty: 5 penalty units.

    115-10(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    115-10(4)  
    If the Registrar becomes aware that the occupier of those premises:

    (a)  has not consented to the use of the premises as the address of the corporation's document access address; or

    (b)  has withdrawn the consent;

    the Registrar may:

    (c)  give written notice to a director of the corporation who resides in Australia that the Registrar intends to change the address of the corporation's document access address to the director's address; and

    (d)  if the Registrar is not notified of the address of the corporation's proposed new document access address under section 115-5 within 14 days after the notice under that section is sent - change the address of the corporation's document access address to the address of that director.

    115-10(5)  
    A notice under paragraph (4)(c) is not a legislative instrument.

    SECTION 115-15   REGISTRAR MAY DIRECT CORPORATION TO CHANGE THE LOCATION OF ITS DOCUMENT ACCESS ADDRESS  

    115-15(1)  
    If the Registrar is satisfied that the corporation's document access address is not in an area that allows the corporation's members appropriate access to the corporation's books, the Registrar may direct the corporation to change its document access address so that it is within the area specified in the direction.

    115-15(2)  
    The direction must:

    (a)  be given by notice in writing to the corporation; and

    (b)  specify the period within which the direction must be complied with.

    115-15(3)  
    The period specified under paragraph (2)(b) must be at least 28 days after the day on which the notice is given to the corporation.

    115-15(4)  
    The corporation commits an offence if it does not comply with the direction.

    Penalty: 5 penalty units.

    115-15(5)  
    An offence against subsection (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    115-15(6)  
    A direction under subsection (1) is not a legislative instrument.

    SECTION 115-20   ADDRESS OF DOCUMENT ACCESS ADDRESS  

    115-20(1)  
    If a provision of this Act requires a notice to be lodged of, or information in an application to specify:

    (a)  the address of the document access address, or of a proposed document access address, of an Aboriginal and Torres Strait Islander corporation; or

    (b)  a change in the situation and address of the document access address of an Aboriginal and Torres Strait Islander corporation;

    the notice or information must specify the matters set out in subsections (2) and (3).

    115-20(2)  
    The notice or information must specify the full address, or the full new address, as the case requires, of the document access address including, where applicable, the number of the room and of the floor or level of the building in which the document access address is situated.

    115-20(3)  
    If the address specified in accordance with paragraph (1)(a) is the address of premises that the corporation will not occupy, the notice or information must include a written statement to the effect that:

    (a)  the person who occupies those premises has consented in writing to the address being specified in the notice or application; and

    (b)  has not withdrawn that consent.

    115-20(4)  
    The Registrar may require a person who has lodged a notice or application that includes a statement under subsection (3) to produce to the Registrar the consent referred to in the statement.

    115-20(5)  
    A requirement under subsection (4) is not a legislative instrument.

    PART 3-8 - SERVICE ON ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS  

    Division 120 - Service on Aboriginal and Torres Strait Islander corporations  

    SECTION 120-1   SERVICE ON ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION  

    120-1(1)  
    A notice, demand, summons, writ or other document or process may be served on an Aboriginal and Torres Strait Islander corporation by:

    (a)  if the corporation is registered as a large corporation - leaving it at, or posting it to, the corporation's registered office; or

    (b)  if the corporation is registered as a large corporation - serving a copy of the document personally on the corporation secretary; or

    (c)  if the corporation is registered as a small or medium corporation - serving a copy of the document personally on the contact person or by sending it by post to his or her address; or

    (d)  serving a copy of the document personally on a director; or

    (e)  if a liquidator of the corporation has been appointed - leaving it at, or posting it to, the address of the liquidator's office in the most recent notice of that address lodged with the Registrar; or

    (f)  if an administrator of the corporation has been appointed - leaving it at, or posting it to, the address of the administrator in the most recent notice of that address lodged with the Registrar; or

    (fa)  

    if a restructuring practitioner for the corporation has been appointed - leaving it at, or posting it to, the address of the restructuring practitioner in the most recent notice of that address lodged with the Registrar; or

    (g)  if a special administrator of the corporation has been appointed - leaving it at, or posting it to, the address of the special administrator in the most recent notice of that address lodged with the Registrar.

    120-1(2)  
    The address for service of the contact person is the address that is on the Register of Aboriginal and Torres Strait Islander Corporations for the contact person.

    120-1(3)  
    The Registrar may change the address on the register in respect of the registered office or contact person if:

    (a)  the Registrar is notified of a new address by the corporation or contact person; or

    (b)  the Registrar otherwise becomes aware that the corporation or contact person has a new address.

    Note:

    This subsection also applies to a director's address that has become the corporation's registered office under section 112-10 and to a director who has become a contact person under section 257-25.

    CHAPTER 4 - MEMBERS AND OBSERVERS  

    PART 4-1 - INTRODUCTION  

    Division 130 - Introduction  

    SECTION 130-1   WHAT THIS CHAPTER IS ABOUT  

    This Chapter deals with membership of Aboriginal and Torres Strait Islander corporations (Part 4-2), observers of Aboriginal and Torres Strait Islander corporations (Part 4-3), members' rights (Part 4-4) and the register of members and the register of former members (Part 4-5).

    PART 4-2 - MEMBERS  

    Division 135 - Introduction  

    SECTION 135-1   135-1   WHAT THIS PART IS ABOUT  


    This Part deals with membership of an Aboriginal and Torres Strait Islander corporation.

    Division 138 deals with the meaning of member of an Aboriginal and Torres Strait Islander corporation.

    Subdivision 141-B deals with various rules that are imposed on an Aboriginal and Torres Strait Islander corporation concerning membership.

    Subdivision 141-C imposes 1 eligibility requirement for membership but a corporation may impose other such requirements. A registered native title body corporate must include particular eligibility requirements relating to common law holders.

    Division 144 deals with how a person becomes a member.

    Division 147 deals with member obligations.

    Division 150 deals with how a person ceases to be member.

    Division 153 provides for different classes of members.

    Division 138 - Who is a member of an Aboriginal and Torres Strait Islander corporation?  

    SECTION 138-1   MEANING OF MEMBER  

    138-1(1)  
    A person is a member of an Aboriginal and Torres Strait Islander corporation if the person:

    (a)  is a member of the corporation on its registration; or

    (b)  

    agrees to become a member of the corporation after its registration and the person's name is entered on the register of members.
    Note:

    Section 180-5 requires the corporation to enter the names and addresses of all of its members on the register of members.

    138-1(2)  


    A person referred to in paragraph (1)(b) becomes a member when the person's name is entered on the register of members.
    Note:

    Under section 42-10, a person who is specified in the application for registration of an Aboriginal and Torres Strait Islander corporation as a member of the corporation becomes a member on registration of the corporation.

    Division 141 - Membership of Aboriginal and Torres Strait Islander corporations  

    Subdivision 141-A - Introduction  

    SECTION 141-1   OVERVIEW  

    141-1(1)  
    There are ongoing requirements relating to the membership of an Aboriginal and Torres Strait Islander corporation that are imposed on the corporation (see Subdivision 141-B).

    141-1(2)  
    These requirements have implications for the eligibility of persons for membership of Aboriginal and Torres Strait Islander corporations (see section 141-20).

    141-1(3)  


    In addition, an Aboriginal and Torres Strait Islander corporation may impose additional eligibility requirements for membership of the corporation (see section 141-25). A registered native title body corporate must include particular eligibility requirements relating to common law holders.

    Subdivision 141-B - Ongoing requirements relating to membership that are imposed on an Aboriginal and Torres Strait Islander corporation  

    SECTION 141-5   141-5   MINIMUM NUMBER OF MEMBERS REQUIREMENT  
    An Aboriginal and Torres Strait Islander corporation must meet the minimum number of members requirement set out in section 77-5 at all times.

    Note:

    Section 26-1 also requires the minimum number of members requirement (explained in section 29-1) to be met at registration of the corporation.

    SECTION 141-10   INDIGENEITY REQUIREMENT  

    141-10(1)  
    An Aboriginal and Torres Strait Islander corporation must meet the Indigeneity requirement set out in section 29-5 at all times.

    Note:

    Section 26-1 also requires the Indigeneity requirement (explained in section 29-5) to be met at registration of the corporation.

    141-10(2)  
    However, the corporation's constitution may provide that the corporation must have a number or percentage of persons who are Aboriginal and Torres Strait Islander persons that is higher than the number or percentage required in the Indigeneity requirement.

    141-10(3)  
    An Aboriginal and Torres Strait Islander corporation that does increase the number or percentage of persons that are required to be Aboriginal and Torres Strait Islander persons is not in breach of subsection (1) only because that increased number or percentage is not attained.

    SECTION 141-15   AGE OF MEMBERS REQUIREMENT  

    141-15(1)  
    An Aboriginal and Torres Strait Islander corporation must meet the age of members requirement set out in section 29-10 at all times.

    Note 1:

    The requirement is that the members of the corporation be at least 15 years of age.

    Note 2:

    Section 29-10 also requires the age of members requirement to be met at registration of the corporation.

    141-15(2)  
    However, the corporation's constitution may provide that the members of the corporation must be at least of an age that is older than 15 years.

    141-15(3)  
    An Aboriginal and Torres Strait Islander corporation that does increase the minimum age of members is not in breach of subsection (1) only because some members are younger than that increased minimum age.

    Subdivision 141-C - A person's eligibility for membership of an Aboriginal and Torres Strait Islander corporation  

    SECTION 141-20   141-20   ELIGIBILITY FOR MEMBERSHIP  
    An individual who is at least 15 years of age is eligible for membership of an Aboriginal and Torres Strait Islander corporation.

    SECTION 141-25   CORPORATION MAY HAVE OTHER ELIGIBILITY REQUIREMENTS FOR MEMBERSHIP  

    141-25(1)  
    The constitution of an Aboriginal and Torres Strait Islander corporation may provide for other eligibility requirements for membership of the corporation.

    141-25(2)  


    If the corporation is a registered native title body corporate, the constitution must include eligibility requirements for membership that provide for all the common law holders of native title to be represented, directly or indirectly.

    Division 144 - How to become a member of an Aboriginal and Torres Strait Islander corporation  

    SECTION 144-1   144-1   HOW DOES A PERSON BECOME A MEMBER?  
    A person becomes a member of an Aboriginal and Torres Strait Islander corporation if:

    (a)  the person applies as provided for in section 144-5; and

    (b)  the person is eligible for membership; and

    (c)  the application is accepted as provided for in section 144-10; and

    (d)  the person is entered on the register of members (see subsection 144-10(5)).

    SECTION 144-5   APPLICATION TO CORPORATION  

    144-5(1)  
    A person (the applicant ) who wants to become a member of an Aboriginal and Torres Strait Islander corporation must apply to the corporation. Application to be in writing (replaceable rule - see section 60-1)

    144-5(2)  
    The application must be in writing.

    SECTION 144-10   DETERMINATION OF APPLICATIONS FOR MEMBERSHIP  

    144-10(1)  
    The directors are responsible for deciding membership applications in respect of an Aboriginal and Torres Strait Islander corporation.

    144-10(2)  
    The directors must not accept an application for membership of the corporation unless:

    (a)  the applicant applies for membership in the required manner; and

    (b)  the applicant meets the eligibility for membership requirements of the corporation. When membership application may be refused

    144-10(3)  


    Unless the corporation is a registered native title body corporate, the directors may refuse to accept the membership application even if paragraphs (2)(a) and (b) are complied with.

    144-10(3A)  


    The directors must accept the membership application if:

    (a)  the corporation is a registered native title body corporate; and

    (b)  paragraphs (2)(a) and (b) are complied with.

    Circumstances when application not to be accepted

    144-10(4)  


    Despite subsections (3) and (3A), the directors must not accept the application if, by accepting the application, the corporation would be in breach of the requirement in section 141-10 (to at all times be complying with the Indigeneity requirement). If application accepted, entry on the register of members

    144-10(5)  
    If the directors accept the application, the corporation must enter the member on the register of members. Subject to subsection (8), the corporation must do so within 14 days of the acceptance.

    Penalty: 5 penalty units.

    Corporation to give notice if application not accepted

    144-10(6)  
    If the directors decide not to accept the application, the corporation must notify the person of the decision and the reasons for it. Notice to be in writing (replaceable rule - see section 60-1)

    144-10(7)  
    The notice must be in writing. No admission to membership before a general meeting has been held

    144-10(8)  
    If:

    (a)  the applicant applies for membership after a notice has been given for the holding of a general meeting; and

    (b)  the meeting has not been held at the time that the directors consider the application; then the corporation must not enter the person on the register of members until after the general meeting has been held.

    Penalty: 5 penalty units.

    Note:

    An application may be made to exempt the corporation from the requirement of this subsection (see section 187-5).

    144-10(9)  
    An offence against subsection (5) or (8) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 144-15   FEES FOR MEMBERSHIP AND BEING AN OBSERVER  

    144-15(1)  
    Unless an Aboriginal and Torres Strait Islander corporation's constitution provides otherwise, the corporation must not impose fees in respect of membership of the corporation or in respect of being an observer of the corporation.

    Note:

    Section 158-5 deals with observers.

    144-15(2)  
    If the corporation's constitution provides for the charging of such fees, the fees, and the amount of the fees, are to be determined by the corporation by resolution in general meeting.

    Division 147 - Obligations of members  

    SECTION 147-1   147-1   OBLIGATION TO CONTRIBUTE ON WINDING UP  
    If an Aboriginal and Torres Strait Islander corporation's constitution provides that the members must contribute to the property of the corporation on winding up then the members must so contribute. Otherwise, the members are not liable to contribute.

    SECTION 147-5   147-5   CORPORATION MAY IMPOSE OTHER MEMBER OBLIGATIONS  
    The constitution of an Aboriginal and Torres Strait Islander corporation may provide for other obligations that attach to membership of the corporation.

    SECTION 147-10   LIABILITY OF CORPORATION MEMBERS   If application for registration says members are not to be liable for debts of the body

    147-10(1)  
    If the application for registration of an Aboriginal and Torres Strait Islander corporation states that people who are members and former members are not to be liable to contribute towards the payment of the debts and liabilities of the corporation, the members and former members are not liable so to contribute. If application for registration says members are to be liable for debts of the body

    147-10(2)  
    If the application for registration states that people who are members and former members are to be liable to contribute towards the payment of the debts and liabilities of the corporation on a particular basis, the members and former members are liable so to contribute on that basis.

    Division 150 - How does a person cease to be a member of an Aboriginal and Torres Strait Islander corporation?  

    Subdivision 150-A - General  

    SECTION 150-1   CESSATION OF MEMBERSHIP   Ways a membership ceases

    150-1(1)  
    This Division deals with the various ways in which a person ceases to be a member of an Aboriginal and Torres Strait Islander corporation. The various ways are:

    (a)  if the person resigns as a member of the corporation (see Subdivision 150-B); or

    (b)  if the person dies; or

    (c)  if the person's membership of the corporation is cancelled (seeSubdivision 150-C); or

    (d)  if the member is a body corporate and the body corporate ceases to exist. When a person ceases to be a member

    150-1(2)  
    A person ceases to be a member when the member's name is removed from the register of members as a current member of the corporation.

    Subdivision 150-B - Resignation of membership  

    SECTION 150-10   RESIGNATION   Resignation to be given to corporation

    150-10(1)  
    A member of an Aboriginal and Torres Strait Islander corporation may resign as a member by notice given to the corporation. Notice to be in writing (replaceable rule - see section 60-1)

    150-10(2)  
    The notice must be in writing. Register to be amended within 14 days of resignation

    150-10(3)  
    Within 14 days after receiving the notice, the corporation must remove the member's name from the register of members as a current member of the corporation.

    Penalty: 5 penalty units.

    150-10(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    Subdivision 150-C - Cancellation of membership  

    SECTION 150-15   GENERAL   Eligibility for membership etc.

    150-15(1)  


    Section 150-20 is a replaceable rule for Aboriginal and Torres Strait Islander corporations other than registered native title bodies corporate that provides a model for the cancellation of membership on the grounds of ineligibility for membership or failure to pay fees.
    Note:

    As a replaceable rule, section 150-20 can be modified or replaced by an Aboriginal and Torres Strait Islander corporation and replaced in whole or in part by a provision that suits the corporation's particular circumstances (subject to the internal governance rules requirements).

    150-15(1A)  


    Section 150-22 provides for cancellation of membership of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate on the grounds of ineligibility for membership or failure to pay fees. If membership of such a corporation is to be cancelled on either of these grounds, the only way the membership may be cancelled is as provided for in section 150-22. Specific grounds for cancellation of membership

    150-15(2)  
    Sections 150-25, 150-30 and 150-35 deal with cancellation of membership on the grounds that:

    (a)  the member is uncontactable (see section 150-25); and

    (b)  the member is not an Aboriginal and Torres Strait Islander person (see section 150-30); and

    (c)  the member has misbehaved (see section 150-35). If a membership is to be cancelled on any of the grounds set out in these sections, the only way the membership may be cancelled is as provided for in the applicable section. Registered native title body corporate constitution may not include other grounds for cancellation

    150-15(2A)  


    The constitution of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate must not provide for cancellation of membership on any other ground.
    Note:

    An application may be made to exempt the corporation, or the directors of the corporation, from the requirements of this section (see section 187-5).

    Register to be amended within 14 days of membership being cancelled

    150-15(3)  
    Within 14 days after the cancellation of membership, the corporation must remove the member's name from the register of members as a current member of the corporation.

    Penalty: 5 penalty units.

    150-15(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 150-20   MEMBER OF CORPORATION THAT IS NOT A REGISTERED NATIVE TITLE BODY CORPORATE NOT ELIGIBLE FOR MEMBERSHIP ETC. (REPLACEABLE RULE - SEE SECTION 60-1)   Cancellation of membership if member is not eligible etc.

    150-20(1)  


    The directors of an Aboriginal and Torres Strait Islander corporation that is not a registered native title body corporate may, by resolution, cancel the membership of a member of the corporation if:

    (a)  either:


    (i) the member is not eligible for membership; or

    (ii) the member has ceased to be eligible for membership of the corporation; or

    (b)  

    the member has not paid the member's membership fees (if any). Member to be given notice

    150-20(2)  
    Before cancelling the membership, the directors must give the member notice in writing:

    (a)  stating that the directors intend to cancel the membership for the reasons specified in the notice; and

    (b)  stating that the member has 14 days to object to the cancellation of the membership; and

    (c)  stating that the objection must be:


    (i) in writing; and

    (ii) given to the corporation within the period of 14 days from the day the notice is given.
    If member does not object

    150-20(4)  
    If the member does not object as provided for in paragraph (2)(c), the directors must cancel the membership. If member does object

    150-20(5)  
    If the member does object as provided for in paragraph (2)(c):

    (a)  the directors must not cancel the membership; and

    (b)  only the corporation by resolution in general meeting may cancel the membership. Notice of resolution to be given

    150-20(6)  
    If the membership is cancelled, the directors must give the member a copy of the resolution (being either the resolution of the directors or the resolution of the general meeting) as soon as practicable after the resolution has been passed.

    SECTION 150-22   MEMBER OF REGISTERED NATIVE TITLE BODY CORPORATE NOT ELIGIBLE FOR MEMBERSHIP ETC.  

    Operation of section

    150-22(1)  
    This section operates despite any provision of the constitution of an Aboriginal and Torres Strait Islander corporation if the corporation is a registered native title body corporate.

    Note:

    An application may be made to exempt the corporation, or the directors of the corporation, from the requirements of this section (see section 187-5).

    Membership may be cancelled if not eligible etc.

    150-22(2)  
    If the membership of a member of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate is to be cancelled on the ground of ineligibility for membership or failure to pay fees, the membership may only be cancelled on that ground if the cancellation is effected in the manner and circumstances set out in subsections (3) to (6). Manner and circumstances

    150-22(3)  
    The directors of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate may, by resolution, cancel the membership of a member of the corporation if:

    (a)  either:


    (i) the member is not eligible for membership; or

    (ii) the member has ceased to be eligible for membership of the corporation; or

    (b)  the member has not paid the member's membership fees (if any).

    150-22(4)  
    Before cancelling the membership, the directors must give the member notice in writing:

    (a)  stating that the directors intend to cancel the membership for the reasons specified in the notice; and

    (b)  stating that the member has 14 days to object to the cancellation of the membership; and

    (c)  stating that the objection must be:


    (i) in writing; and

    (ii) given to the corporation within the period of 14 days from the day the notice is given.

    150-22(5)  
    If the member does not object as provided for in paragraph (4)(c), the directors must cancel the membership.

    150-22(6)  
    If the member does object as provided for in paragraph (4)(c):

    (a)  the directors must not cancel the membership; and

    (b)  only the corporation by resolution in general meeting may cancel the membership. Notice

    150-22(7)  
    If the membership is cancelled, the directors must give the member a copy of the resolution (being either the resolution of the directors or the resolution of the general meeting) as soon as practicable after the resolution has been passed.

    Penalty: 5 penalty units.

    150-22(8)  
    An offence against subsection (7) is an offence of strict liability.

    SECTION 150-25   MEMBER NOT CONTACTABLE   Operation of section

    150-25(1)  
    This section operates despite section 150-20 or any provision of an Aboriginal and Torres Strait Islander corporation's constitution.

    Note:

    An application may be made to exempt the corporation, or the directors of the corporation, from the requirements of this section (see section 187-5).

    Membership may be cancelled if not contactable

    150-25(2)  
    If the membership of a member of an Aboriginal and Torres Strait Islander corporation is to be cancelled on the ground that the member is not contactable, the membership may only be cancelled on that ground if the cancellation is effected in the manner and circumstances set out in subsection (3). Manner and circumstances

    150-25(3)  
    The membership may be cancelled by special resolution in general meeting if:

    (a)  the corporation has not been able to contact the member at the address for the member that is entered on the register of members; and

    (b)  the corporation has not been able to contact that person at that address for a continuous period of 2 years prior to the meeting; and

    (c)  the corporation has made 2 or more reasonable attempts to otherwise contact the member during that 2 year period but has been unable to. Notice

    150-25(4)  
    If the corporation does so cancel the membership, the directors must send the member a copy of the resolution at the last known address of the member, as soon as practicable after the resolution has been passed.

    Penalty: 5 penalty units.

    150-25(5)  
    An offence against subsection (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 150-30   MEMBER IS NOT AN ABORIGINAL AND TORRES STRAIT ISLANDER PERSON   Operation of section

    150-30(1)  
    This section operates despite section 150-20 or any provision of an Aboriginal and Torres Strait Islander corporation's constitution.

    Note:

    An application may be made to exempt the corporation, or the directors of the corporation, from the requirements of this section (see section 187-5).

    Membership may be cancelled if not an Aboriginal and Torres Strait Islander person

    150-30(2)  
    If it is a requirement for eligibility for membership of an Aboriginal and Torres Strait Islander corporation that a member be an Aboriginal and Torres Strait Islander person, a member's membership may only be cancelled on the ground that the person is not such a person if the cancellation is effected in the manner and circumstance set out in subsection (3). Manner and circumstances

    150-30(3)  
    The corporation, by special resolution in general meeting, may cancel the membership of the member if the general meeting is satisfied that the member is not an Aboriginal and Torres Strait Islander person. Notice

    150-30(4)  
    If the corporation does so cancel the membership, the directors must give the member a copy of the resolution as soon as practicable after the resolution has been passed.

    Penalty: 5 penalty units.

    150-30(5)  
    An offence against subsection (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 150-35   MEMBER MISBEHAVES   Operation of section

    150-35(1)  
    This section operates despite section 150-20 or any provision of an Aboriginal and Torres Strait Islander corporation's constitution.

    Note:

    An application may be made to exempt the corporation, or the directors of the corporation, from the requirements of this section (see section 187-5).

    Membership may be cancelled if member misbehaves

    150-35(2)  
    If the membership of a member of an Aboriginal and Torres Strait Islander corporation is to be cancelled on the grounds that the member has misbehaved, the membership may only be cancelled on that ground if the cancellation is affected in the manner and circumstance provided for in subsection (3). Manner and circumstances

    150-35(3)  
    The corporation may cancel the membership by special resolution in general meeting if the general meeting is satisfied that member has behaved in a manner that significantly interfered with the operation of the corporation or of corporation meetings. Notice

    150-35(4)  
    If the corporation does so cancel the membership, the directors must give the member a copy of the resolution as soon as practicable after the resolution has been passed.

    Penalty: 5 penalty units.

    Strict liability offence

    150-35(5)  


    An offence against subsection (4) is an offence of strict liability.
    Note:

    For strict liability, see section 6.1 of the Criminal Code.

    Division 153 - Can there be different classes of members?  

    SECTION 153-1   DIFFERENT CLASSES OF MEMBERS  

    153-1(1)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide that the corporation has different classes of members.

    153-1(2)  
    The corporation's constitution may provide that different rights may attach to different classes of membership.

    Note:

    The rule under section 201-115 that, subject to those different rights, each member has 1 vote on a show of hands and, on a poll, 1 vote is a replaceable rule.

    PART 4-3 - OBSERVERS  

    Division 158 - Observers  

    SECTION 158-1   WHAT THIS PART IS ABOUT  

    This Part enables an Aboriginal and Torres Strait Islander corporation to have observers of the corporation if observers are provided for in the corporation's constitution.

    If the corporation chooses to have observers, the corporation's constitution must also provide for the appointment of observers, their rights and obligations (if any) and how the observers cease to be observers.

    SECTION 158-5   OBSERVERS   Corporation may have observers

    158-5(1)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide for the corporation to have observers. Entitlement of observer to attend general meeting (replaceable rule - see section 60-1)

    158-5(2)  
    An observer is entitled to attend a general meeting of the corporation but is not a member of the corporation.

    Note:

    Only members of an Aboriginal and Torres Strait Islander corporation may vote at a meeting of the corporation (see section 201-115).

    Other matters for which constitution must provide if corporation has observers

    158-5(3)  
    If the constitution provides for the corporation to have observers, the constitution must also provide for the following matters:

    (a)  the application process for becoming an observer of the corporation;

    (b)  the eligibility criteria for becoming an observer of the corporation;

    (c)  the obligations (if any) imposed on an observer of the corporation;

    (d)  the rights (if any) that an observer has in relation to the corporation;

    (e)  how an observer ceases to be an observer of the corporation.

    PART 4-4 - PROTECTION OF MEMBERS' INTERESTS  

    Division 163 - Rights and remedies to protect interests of members  

    SECTION 163-1   163-1   RIGHTS AND REMEDIES  
    The rights and remedies that are conferred by this Part to protect the interests of members of Aboriginal and Torres Strait Islander corporations are:

    (a)  the right to seek a Court order concerning oppressive conduct of the affairs of the corporation as provided for in Division 166; and

    (b)  the right to bring or intervene in proceedings on behalf of the corporation as provided for in Division 169; and

    (c)  the rights relating to the changing of class rights as provided for in Division 172; and

    (d)  the right to apply to the Court for an order to inspect the corporation's books as provided for in Division 175.

    Division 166 - Oppressive conduct of affairs  

    SECTION 166-1   GROUNDS FOR COURT ORDER  

    166-1(1)  
    Subject to subsection (2), the Court may make an order under section 166-5 if:

    (a)  the conduct of an Aboriginal and Torres Strait Islander corporation's affairs; or

    (b)  an actual or proposed act or omission by or on behalf of an Aboriginal and Torres Strait Islander corporation; or

    (c)  a resolution, or a proposed resolution, of members or a class of members of an Aboriginal and Torres Strait Islander corporation; is either:

    (d)  contrary to the interests of the members as a whole; or

    (e)  oppressive to, unfairly prejudicial to or unfairly discriminatory against, a member or members whether in that capacity or in any other capacity.

    166-1(2)  
    If the corporation is a registered native title body corporate, the Court must not make an order under subsection 166-5(1) on the basis of:

    (a)  an act (or omission from doing an act); or

    (b)  a proposed act (or omission from doing an act); if an officer or employee of the corporation does (or refrains from doing), or proposes to do (or refrain from doing), the act:

    (c)  in good faith; and

    (d)  with the belief that doing (or refraining from doing) the act is necessary to ensure that the corporation complies with a Native Title legislation obligation.

    SECTION 166-5   ORDERS THE COURT CAN MAKE  

    166-5(1)  
    The Court can make any order under this section that it considers appropriate in relation to the corporation, including the following:

    (a)  an order that the corporation be wound up;

    (b)  an order that the corporation's existing constitution be modified or repealed and replaced;

    (c)  an order regulating the conduct of the corporation's affairs in the future;

    (d)  an order for the corporation to institute, prosecute, defend or discontinue specified proceedings;

    (e)  an order appointing a receiver, or a receiver and manager, of any or all of the corporation's property;

    (f)  an order restraining a person from engaging in specified conduct or from doing a specified act;

    (g)  an order requiring a person to do a specified act. Order that the corporation be wound up

    166-5(2)  
    If an order that the corporation be wound up is made under this section, the provisions of this Act relating to the winding up of Aboriginal and Torres Strait Islander corporations apply:

    (a)  as if the order were made under section 526-1; and

    (b)  with such changes as are necessary. Without limiting this, section 526-35 (which applies certain provisions of the Corporations Act) applies to the winding up. Changes to constitution made after order that are inconsistent with the Court ordered change

    166-5(3)  
    If:

    (a)  the constitution of the corporation is changed by an order made under this section; and

    (b)  after the order, a change to the constitution is proposed; and

    (c)  the proposed change is inconsistent with the change made by the order; the Registrar must not register the proposed change unless:

    (d)  the order states that the constitution can be changed; or

    (e)  the leave of the court is obtained by:


    (i) in any case - the Registrar; or

    (ii) if the change is not to be made under section 69-35 - the corporation.
    Note:

    See section 69-10 for the meaning of changed in relation to an Aboriginal and Torres Strait Islander corporation's constitution.

    SECTION 166-10   166-10   WHO CAN APPLY FOR AN ORDER?  
    An application for an order under section 166-5 in relation to an Aboriginal and Torres Strait Islander corporation may be made by:

    (a)  a member of the corporation, even if the application relates to an act or omission that is against:


    (i) the member in a capacity other than as a member; or

    (ii) another member in that member's capacity as a member; or

    (b)  a person who has ceased to be a member of the corporation if the application relates to the circumstances in which the person ceased to be a member; or

    (c)  a person whom the Registrar thinks appropriate having regard to investigations the Registrar is conducting or has conducted into:


    (i) the corporation's affairs; or

    (ii) matters connected with the corporation's affairs; or

    (d)  the Registrar.

    SECTION 166-15   REQUIREMENT FOR PERSON TO LODGE ORDER  

    166-15(1)  
    If an order is made under section 166-5, the applicant must lodge a copy of the order with the Registrar within 14 days after it is made.

    166-15(2)  
    Subsection (1) does not apply if the applicant is the Registrar.

    166-15(3)  
    A person commits an offence if the person contravenes subsection (1).

    Penalty: 50 penalty units or imprisonment for 12 months, or both.

    166-15(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    Division 169 - When may a person bring or intervene in proceedings on behalf of an Aboriginal and Torres Strait Islander corporation?  

    SECTION 169-1   BRINGING, OR INTERVENING IN, PROCEEDINGS ON BEHALF OF A CORPORATION  

    169-1(1)  
    A person who is:

    (a)  either:


    (i) a member, former member, or person entitled to be registered as a member of an Aboriginal and Torres Strait Islander corporation or of a related body corporate; or

    (ii) an officer or former officer of the corporation; or

    (iii) the Registrar; and

    (b)  acting with leave granted under section 169-5; may:

    (c)  bring proceedings on behalf of an Aboriginal and Torres Strait Islander corporation; or

    (d)  intervene in any proceedings to which an Aboriginal and Torres Strait Islander corporation is a party for the purpose of taking responsibility on behalf of the corporation for those proceedings, or for a particular step in those proceedings (for example, compromising or settling them).

    169-1(2)  
    Proceedings brought on behalf of the corporation must be brought in the corporation's name.

    169-1(3)  
    Any right a person may have otherwise had at general law to bring, or intervene in, proceedings on behalf of an Aboriginal and Torres Strait Islander corporation is abolished.

    Note:

    This section does not prevent a person bringing, or intervening in, proceedings on the person's own behalf in respect of a personal right.

    SECTION 169-5   APPLYING FOR AND GRANTING LEAVE   Who may apply for leave?

    169-5(1)  
    A person referred to in paragraph 169-1(1)(a) may apply to the Court for leave to bring, or to intervene in, proceedings. Court to grant the application in certain circumstances

    169-5(2)  
    The Court must grant the application if it is satisfied that:

    (a)  it is probable that the corporation will not itself bring the proceedings, or properly take responsibility for them, or for the steps in them; and

    (b)  the applicant is acting in good faith; and

    (c)  it is in the best interests of the corporation that the applicant be granted leave; and

    (d)  if the applicant is applying for leave to bring proceedings - there is a serious question to be tried; and

    (e)  either:


    (i) at least 14 days before making the application, the applicant gave written notice to the corporation of the intention to apply for leave and of the reasons for applying; or

    (ii) it is appropriate to grant leave even though subparagraph (i) is not satisfied.
    This subsection has effect subject to subsections (3) and (5). When leave is not in the best interests of the corporation

    169-5(3)  
    A rebuttable presumption that granting leave is not in the best interests of the corporation arises if it is established that:

    (a)  the proceedings are:


    (i) by the corporation against a person who is not a related party of the corporation; or

    (ii) by such a person against the corporation;
    (including any appeal from a decision made in proceedings by or against the corporation); and

    (b)  the corporation has decided:


    (i) not to bring the proceedings; or

    (ii) not to defend the proceedings; or

    (iii) to discontinue, settle or compromise the proceedings; and

    (c)  all of the directors who participated in that decision:


    (i) acted in good faith for a proper purpose; and

    (ii) did not have a material personal interest in the decision; and

    (iii) informed themselves about the subject matter of the decision to the extent they reasonably believed to be appropriate; and

    (iv) rationally believed that the decision was in the best interests of the corporation.
    Note:

    Related party is defined in section 293-1.

    169-5(4)  
    A director's belief that the decision was in the best interests of the corporation is a rational one unless the belief is one that no reasonable person in his or her position would hold. Decision taken to give effect to Native Title legislation obligation

    169-5(5)  
    The Court must not grant the application if:

    (a)  the corporation has decided:


    (i) not to bring the proceedings; or

    (ii) not to defend the proceedings; or

    (iii) to discontinue, settle or compromise the proceedings; and

    (b)  an officer or employee of the corporation made that decision:


    (i) in good faith; and

    (ii) with the belief that making the decision was necessary to ensure that the corporation complies with a Native Title legislation obligation.

    SECTION 169-10   SUBSTITUTION OF ANOTHER PERSON FOR THE PERSON GRANTED LEAVE  

    169-10(1)  
    Any of the following persons may apply to the Court for an order that the person be substituted for a person to whom leave has been granted under section 169-5:

    (a)  a member, former member, or a person entitled to be registered as a member of the corporation or of a related body corporate;

    (b)  an officer, or former officer of the corporation;

    (c)  the Registrar. When may Court make order

    169-10(2)  
    The Court may make the order if it is satisfied that:

    (a)  the applicant is acting in good faith; and

    (b)  it is appropriate to make the order in all the circumstances.

    169-10(3)  
    An order substituting one person for another has the effect that:

    (a)  the grant of leave is taken to have been made in favour of the substituted person; and

    (b)  if the other person has already brought the proceedings or intervened - the substituted person is taken to have brought those proceedings or to have made that intervention.

    SECTION 169-15   EFFECT OF RATIFICATION BY MEMBERS  

    169-15(1)  
    If the members of an Aboriginal and Torres Strait Islander corporation ratify or approve conduct, the ratification or approval:

    (a)  does not prevent a person from bringing or intervening in proceedings with leave under section 169-5 or from applying for leave under that section; and

    (b)  does not have the effect that proceedings brought or intervened in with leave under section 169-5 must be determined in favour of the defendant, or that an application for leave under that section must be refused. Effect of ratification on court

    169-15(2)  
    If the members of an Aboriginal and Torres Strait Islander corporation ratify or approve conduct, the Court may take the ratification or approval into account in deciding what order or judgment (including as to damages) to make in:

    (a)  proceedings brought or intervened in with leave under section 169-5; or

    (b)  in relation to an application for leave under that section.

    169-15(3)  
    In doing this, it must have regard to:

    (a)  how well-informed about the conduct the members were when deciding whether to ratify or approve the conduct; and

    (b)  whether the members who ratified or approved the conduct were acting for proper purposes.

    SECTION 169-20   169-20   LEAVE TO DISCONTINUE, COMPROMISE OR SETTLE PROCEEDINGS BROUGHT, OR INTERVENED IN, WITH LEAVE  
    Proceedings brought or intervened in with leave must not be discontinued, compromised or settled without the leave of the Court.

    SECTION 169-25   GENERAL POWERS OF THE COURT  

    169-25(1)  
    The Court may make any orders, and give any directions, that it considers appropriate in relation to proceedings brought or intervened in with leave, or an application for leave, including:

    (a)  interim orders; and

    (b)  directions about the conduct of the proceedings, including requiring mediation; and

    (c)  an order directing the corporation, or an officer of the corporation, to do, or not to do, any act; and

    (d)  an order appointing an independent person to investigate, and report to the Court on:


    (i) the financial affairs of the corporation; or

    (ii) the facts or circumstances which gave rise to the cause of action the subject of the proceedings; or

    (iii) the costs incurred in the proceedings by the parties to the proceedings and the person granted leave.
    Persons appointed under paragraph (1)(d) may inspect books

    169-25(2)  
    A person appointed by the Court under paragraph (1)(d) is entitled, on giving reasonable notice to the corporation, to inspect any books of the corporation for any purpose connected with his or her appointment. Remuneration and expenses for persons appointed under paragraph (1)(d)

    169-25(3)  
    If the Court appoints a person under paragraph (1)(d):

    (a)  the Court must also make an order stating who is liable for the remuneration and expenses of the person appointed; and

    (b)  the Court may vary the order at any time; and

    (c)  the persons who may be made liable under the order, or the order as varied, are:


    (i) all or any of the parties to the proceedings or application; and

    (ii) the corporation; and

    (d) if the order, or the order as varied, makes 2 or more persons liable, the order may also determine the nature and extent of the liability of each of those persons.

    169-25(4)  
    Subsection (3) does not affect the powers of the Court as to costs.

    SECTION 169-30   POWER OF THE COURT TO MAKE COSTS ORDERS  

    169-30(1)  
    The Court may at any time make any orders it considers appropriate about the costs of the following persons in relation to proceedings brought or intervened in with leave under section 169-5 or an application for leave under that section:

    (a)  the person who applied for or was granted leave;

    (b)  the corporation;

    (c)  any other party to the proceedings or application.

    169-30(2)  
    An order under this section may require indemnification for costs.

    Division 172 - What protections apply to variations or cancellations of class rights?  

    SECTION 172-1   VARYING AND CANCELLING CLASS RIGHTS   If constitution sets out procedure

    172-1(1)  
    If an Aboriginal and Torres Strait Islander corporation's constitution sets out the procedure for varying or cancelling rights of members in a class of members, those rights may be varied or cancelled only in accordance with the procedure. The procedure may be changed only if the procedure itself is complied with. If constitution does not set out procedure

    172-1(2)  
    If an Aboriginal and Torres Strait Islander corporation's constitution does not set out the procedure for varying or cancelling rights of members in a class of members, those rights may be varied or cancelled only by special resolution of the corporation and:

    (a)  by special resolution passed at a meeting of the class of members whose rights are being varied or cancelled; or

    (b)  with the written consent of members with at least 75% of the votes in the class. Notice of variation

    172-1(3)  
    The corporation must give written notice of the variation or cancellation to the members of the class within 7 days after the variation or cancellation is made.

    172-1(4)  
    The corporation commits an offence if it contravenes subsection (3).

    Penalty: 5 penalty units.

    172-1(5)  
    An offence against subsection (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 172-5   CERTAIN ACTIONS TAKEN TO VARY RIGHTS ETC  

    172-5(1)  
    If the members in a class of members of an Aboriginal and Torres Strait Islander corporation are divided into further classes of members and, after the division, the rights of all of those members are not the same:

    (a)  the division is taken to vary the rights of every member who was in the class existing before the division; and

    (b)  members who have the same rights after the division form a separate class.

    172-5(2)  
    If the rights of some of the members in a class of members are varied:

    (a)  the variation is taken to vary the rights of every other member who was in the class existing before the variation; and

    (b)  members who have the same rights after the variation form a separate class.

    SECTION 172-10   VARIATION, CANCELLATION OR MODIFICATION WITHOUT UNANIMOUS SUPPORT OF CLASS  

    172-10(1)  
    If members in a class of members of an Aboriginal and Torres Strait Islander corporation do not all agree (whether by resolution or written consent) to:

    (a)  a variation or cancellation of their rights; or

    (b)  a modification of the corporation's constitution (if any) to allow their rights to be varied or cancelled;

    members with at least 10% of the votes in the class may apply to the Court to have the variation, cancellation or modification set aside.

    172-10(2)  
    An application may only be made within 28 days after the variation, cancellation or modification is made.

    172-10(3)  
    The variation, cancellation or modification takes effect:

    (a)  if no application is made to the Court to have it set aside - 28 days after the variation, cancellation or modification is made; or

    (b)  if an application is made to the Court to have it set aside - when the application is withdrawn or finally determined.

    172-10(4)  
    The members of the class who want to have the variation, cancellation or modification set aside may appoint one or more of themselves to make the application on their behalf. The appointment must be in writing.

    172-10(5)  
    The Court may set aside the variation, cancellation or modification if it is satisfied that it would unfairly prejudice the applicants. However, the Court must confirm the variation, cancellation or modification if the Court is not satisfied of unfair prejudice.

    172-10(6)  
    Within 14 days after the Court makes an order, the corporation must lodge a copy of the order with the Registrar.

    172-10(7)  
    The corporation commits an offence if it contravenes subsection (6).

    Penalty: 5 penalty units.

    172-10(8)  
    An offence against subsection (6) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 172-15   172-15   VARIATION, CANCELLATION OR MODIFICATION WITH UNANIMOUS SUPPORT OF CLASS  
    If the members in a class of members of an Aboriginal and Torres Strait Islander corporation all agree (whether by resolution or written consent) to the variation, cancellation or modification, it takes effect:

    (a)  if no later date is specified in the resolution or consent - on the date of the resolution or consent; or

    (b)  on a later date specified in the resolution or consent.

    Division 175 - When may a member inspect a corporation's books?  

    SECTION 175-1   ORDER FOR INSPECTION OF BOOKS OF CORPORATION  

    175-1(1)  
    On application by a member of an Aboriginal and Torres Strait Islander corporation, the Court may make an order:

    (a)  authorising the applicant to inspect books of the corporation; or

    (b)  authorising another person (whether a member or not) to inspect books of the corporation on the applicant's behalf.

    The Court may only make the order if it is satisfied that the applicant is acting in good faith and that the inspection is to be made for a proper purpose.

    175-1(2)  
    A person authorised to inspect books may make copies of the books unless the Court orders otherwise.

    175-1(3)  
    A person who:

    (a)  is granted leave under section 169-5; or

    (b)  applies for leave under that section; or

    (c)  is eligible to apply for leave under that section; may apply to the Court for an order under this section.

    175-1(4)  
    On application, the Court may make an order authorising:

    (a)  the applicant to inspect books of the corporation; or

    (b)  another person to inspect books of the corporation on the applicant's behalf.

    175-1(5)  
    The Court may make the order only if it is satisfied that:

    (a)  the applicant is acting in good faith; and

    (b)  the inspection is to be made for a purpose connected with:


    (i) applying for leave under section 169-5; or

    (ii) bringing or intervening in proceedings with leave under that section.

    175-1(6)  
    A person authorised to inspect books may make copies of the books unless the Court orders otherwise.

    175-1(7)  
    If the person authorised by the Court under paragraph (1)(b) or paragraph (4)(b) is the Registrar, the Registrar may appoint another person to inspect the books of the corporation on the Registrar's behalf.

    SECTION 175-5   175-5   ANCILLARY ORDERS  
    If the Court makes an order under section 175-1, the Court may make any other orders it considers appropriate, including either or both of the following:

    (a)  an order limiting the use that a person who inspects books may make of information obtained during the inspection;

    (b)  an order limiting the right of a person who inspects books to make copies in accordance with subsection 175-1(2).

    SECTION 175-10   DISCLOSURE OF INFORMATION ACQUIRED IN INSPECTION  

    175-10(1)  
    A person who inspects books on behalf of an applicant under section 175-1 must not disclose information obtained during the inspection.

    175-10(2)  
    Subsection (1) does not apply to the extent that the disclosure is to:

    (a)  the Registrar; or

    (b)  the applicant.

    Note:

    A defendant bears an evidential burden in relation to the matter in subsection (2) (see subsection 13.3(3) of the Criminal Code).

    175-10(3)  
    A person commits an offence if the person contravenes subsection (1).

    Penalty: 50 penalty units or imprisonment for 12 months, or both.

    175-10(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 175-15   175-15   CORPORATION OR DIRECTORS MAY ALLOW MEMBER TO INSPECT BOOKS (REPLACEABLE RULE - SEE SECTION 60-1)  
    The directors of an Aboriginal and Torres Strait Islander corporation, or the corporation by a resolution passed at a general meeting, may authorise a member to inspect books of the corporation.

    PART 4-5 - REGISTERS OF MEMBERS AND FORMER MEMBERS  

    Division 180 - Registers of members and former members  

    SECTION 180-1   ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS TO MAINTAIN REGISTER OF MEMBERS  

    180-1(1)  
    An Aboriginal and Torres Strait Islander corporation must set up and maintain a register of members.

    180-1(2)  
    An Aboriginal and Torres Strait Islander corporation commits an offence if it contravenes subsection (1).

    Penalty: 10 penalty units.

    180-1(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 180-5   INFORMATION ON THE REGISTER OF MEMBERS  

    180-5(1)  
    The register of members must contain the following information about each member who is an individual:

    (a)  the member's given and family name;

    (b)  the member's address;

    (c)  the date on which the entry of the member's name in the register was made. The register may also contain any other name by which the member is or was known.

    180-5(1A)  
    The register of members must contain the following information about each member who is a body corporate:

    (a)  the member's name and address;

    (b)  the date on which the entry of the member's name in the register was made.

    180-5(2)  
    If:

    (a)  the corporation's constitution allows for members who are not Aboriginal and Torres Strait Islander persons; and

    (b)  a member is not an Aboriginal and Torres Strait Islander person; the entry for the member in the register must also indicate that the member is not an Aboriginal and Torres Strait Islander person.

    SECTION 180-10   ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATIONS TO MAINTAIN REGISTER OF FORMER MEMBERS  

    180-10(1)  
    An Aboriginal and Torres Strait Islander corporation must set up and maintain a register of former members.

    180-10(2)  
    An Aboriginal and Torres Strait Islander corporation commits an offence if it contravenes subsection (1).

    Penalty: 10 penalty units.

    180-10(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 180-15   INFORMATION ON THE REGISTER OF FORMER MEMBERS  

    180-15(1)  
    The register of former members must contain the following information about each individual who stopped being a member of the corporation within the last 7 years:

    (a)  the member's given and family name;

    (b)  the member's address;

    (c)  the date on which the individual stopped being a member. The register may also contain any other name by which the individual is or was known.

    180-15(2)  
    The register of former members must contain the following information about each body corporate that stopped being a member of the corporation within the last 7 years:

    (a)  the member's name and address;

    (b)  the date on which the body stopped being a member.

    SECTION 180-20   LOCATION AND INSPECTION OF REGISTERS  

    180-20(1)  
    An Aboriginal and Torres Strait Islander corporation must keep the register of members and the register of former members at:

    (a)  the corporation's registered office if the corporation is registered as a large corporation; or

    (b)  the corporation's document access address if the corporation is registered as a small or medium corporation.

    Penalty: 10 penalty units.

    180-20(2)  
    The register must be open for inspection by any person.

    180-20(3)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 180-22   180-22   REGISTER OF MEMBERS AND REGISTER OF FORMER MEMBERS MAY BE MAINTAINED IN ONE DOCUMENT  
    Nothing in this Act prevents an Aboriginal and Torres Strait Islander corporation from maintaining its register of members, and its register of former members, in the one document.

    SECTION 180-25   RIGHT TO INSPECT AND GET COPIES   Right to inspect

    180-25(1)  
    Any person has a right to inspect an Aboriginal and Torres Strait Islander corporation's register of members and register of former members.

    Note 1:

    A corporation commits an offence under section 376-1 if it does not allow inspection of a register.

    Note 2:

    Other provisions that are relevant to the inspection of a register are:

  • (a) section 180-45 (evidentiary value); and
  • (b) section 376-1 (place and times for inspection); and
  • (c) section 376-20 (form).
  • 180-25(2)  
    If the register is not kept on computer, the corporation must allow the person to inspect the register itself.

    180-25(3)  
    If the register is kept on a computer, the corporation must (unless the person and the corporation agree that the person can access the information by computer) allow the person to inspect a hard copy of the information on the register. Inspection fees

    180-25(4)  
    A member of the corporation may inspect the register without charge. Other people may inspect the register only on payment of any fee (up to the prescribed amount) required by the corporation. Right to get copies

    180-25(5)  
    The corporation must give a person a copy of the register (or a part of the register) within 7 days if the person:

    (a)  asks for the copy; and

    (b)  pays any fee (up to the prescribed amount) required by the corporation. The Registrar may allow a longer period to comply with the request.

    Penalty: 10 penalty units.

    180-25(6)  
    An offence against subsection (5) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 180-30   ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION TO MAKE REGISTER OF MEMBERS AVAILABLE AT AGM  

    180-30(1)  
    An Aboriginal and Torres Strait Islander corporation must:

    (a)  make the register of members available for inspection (without charge) by members at the AGM; and

    (b)  ask each member attending the AGM to:


    (i) check the entry for that member in the register; and

    (ii) inform the corporation of any corrections that need to be made to that entry.

    Penalty: 10 penalty units.

    180-30(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 180-35   ABORIGINAL AND TORRES STRAIT ISLANDER CORPORATION TO GIVE REGISTRAR COPY OF REGISTER OF MEMBERS OR REGISTER OF FORMER MEMBERS  

    180-35(1)  
    The Registrar may, at any time, request the corporation to give him or her a copy of the register of members, or the register of former members, as at the date when the copy is given to the Registrar, and the corporation must comply with the request within 14 days or such longer period as the Registrar specifies.

    Note:

    An Aboriginal and Torres Strait Islander corporation must give a general report to the Registrar in respect of each financial year. That report must include details of the names and addresses of the corporation's members: see sections 330-1 and 330-5.

    180-35(2)  
    An Aboriginal and Torres Strait Islander corporation commits an offence if it contravenes subsection (1).

    Penalty: 10 penalty units.

    180-35(3)  
    An offence against subsection (2) is an offence of strict liability.

    Note 1:

    For strict liability , see section 6.1 of the Criminal Code.

    Note 2:

    A secretary of an Aboriginal and Torres Strait Islander corporation may be liable for a civil penalty for a contravention of this section. See sections 265-40 and 386-10.

    SECTION 180-40   CORRECTION OF REGISTER OF MEMBERS OR REGISTER OF FORMER MEMBERS  

    180-40(1)  
    The corporation, or a person aggrieved, may apply to the Court to have the register of members or the register of former members corrected.

    180-40(2)  
    If the Court orders the corporation to correct the register, it may also order the corporation to compensate a party to the application for loss or damage suffered.

    SECTION 180-45   180-45   EVIDENTIARY VALUE OF REGISTERS  
    In the absence of evidence to the contrary, the register of members and the register of former members are proof of the matters shown in the registers under this Part.

    Division 183 - Use of information on the register of members or register of former members  

    SECTION 183-1   USE OF INFORMATION ON REGISTER OF MEMBERS OR REGISTER OF FORMER MEMBERS  

    183-1(1)  
    A person must not:

    (a)  use information about a person obtained from a register of members, or register of former members, to contact or send material to the person; or

    (b)  disclose information of that kind knowing that the information is likely to be used to contact or send material to the person.

    Note:

    An example of using information to send material to a person is putting a person's name and address on a mailing list for advertising material.

    183-1(2)  
    Subsection (1) does not apply if the use or disclosure of the information is:

    (a)  relevant to the person's membership, or former membership, of the corporation or the exercise of the person's rights as a member, or former member, of the corporation; or

    (b)  approved by the corporation.

    Note:

    A defendant bears an evidential burden in relation to the matter in subsection (2) (see subsection 13.3(3) of the Criminal Code).

    183-1(3)  
    A person commits an offence if the person contravenes subsection (1).

    Penalty: 10 penalty units.

    183-1(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    183-1(5)  
    A person who contravenes subsection (1) is liable to compensate anyone else who suffers loss or damage because of the contravention.

    183-1(6)  
    A person who makes a profit from a contravention of subsection (1) owes a debt to the corporation. The amount of the debt is the amount of the profit.

    183-1(7)  
    If a person owes a debt under subsection (6) to the corporation:

    (a)  the debt may be recovered by the corporation as a debt due to it; and

    (b)  any amount paid or recovered in respect of the debt forms part of the corporation's property.

    PART 4-6 - EXEMPTION FROM OPERATION OF CERTAIN PROVISIONS OF THIS CHAPTER  

    Division 187 - Exemption from operation of certain provisions of this Chapter  

    SECTION 187-1   WHAT THIS PART IS ABOUT  

    The Registrar may exempt an Aboriginal and Torres Strait Islander corporation from certain provisions of this Chapter. The Registrar may do so on application or on his or her own volition.

    SECTION 187-5   EXEMPTION FROM CERTAIN PROVISIONS OF THIS CHAPTER  

    187-5(1)  
    On an application made in accordance with subsection (3) in relation to an Aboriginal and Torres Strait Islander corporation, the Registrar may make a determination in writing exempting any of the following from the exemptible provisions of this Chapter specified in the Registrar's determination:

    (a)  the corporation itself;

    (b)  the directors of the corporation.

    Note:

    For the criteria for making determinations under this section, see section 187-20.

    187-5(2)  
    For the purposes of this section, the exemptible provisions of this Chapter are:

    (a)  subsection 144-10(8); and

    (aa)  

    subsection 150-15(2A); and

    (ab)  

    section 150-22; and

    (b)  section 150-25; and

    (c)  section 150-30; and

    (d)  section 150-35.

    187-5(3)  
    The application must:

    (a)  specify the exemptible provisions in relation to which the exemption is being sought; and

    (b)  be authorised by a resolution of the directors; and

    (c)  be in writing and signed by a director; and

    (d)  be lodged with the Registrar.

    187-5(4)  
    The determination may:

    (a)  be expressed to be subject to conditions; and

    (b)  be indefinite or limited to a specified period.

    187-5(5)  
    The Registrar may, in writing, revoke, vary or suspend the determination.

    187-5(6)  
    The Registrar must give the applicant written notice within 28 days of the making, revocation, variation or suspension of the determination.

    187-5(7)  
    A determination under subsection (1), or a revocation, variation or suspension under subsection (5), is not a legislative instrument.

    SECTION 187-10   187-10   REGISTRAR MAY MAKE DETERMINATION EVEN IF APPLICATION IS INCOMPLETE  
    Despite subsection 187-5(3), the Registrar may make a determination even if the application does not specify the provisions in relation to which the exemption is being sought.

    SECTION 187-15   REGISTRAR'S POWER TO MAKE DETERMINATIONS  

    187-15(1)  
    The Registrar may determine in writing that:

    (a)  a specified Aboriginal and Torres Strait Islander corporation or a specified class of Aboriginal and Torres Strait Islander corporation; and

    (b)  the directors of a specified Aboriginal and Torres Strait Islander corporation or of a specified class of Aboriginal and Torres Strait Islander corporation (as the case may be);

    are exempted from the exemptible provision of this Chapter specified in the Registrar's determination.

    Note:

    For the criteria for making determinations under this section, see section 187-20.

    187-15(2)  
    For the purposes of this section, the exemptible provisions of this Chapter are:

    (a)  subsection 144-10(8); and

    (aa)  

    subsection 150-15(2A); and

    (ab)  

    section 150-22; and

    (b)  section 150-25; and

    (c)  section 150-30; and

    (d)  section 150-35.

    187-15(3)  
    The determination may:

    (a)  be expressed to be subject to conditions; and

    (b)  be indefinite or limited to a specified period.

    187-15(4)  
    The Registrar may, in writing, revoke, vary or suspend the determination.

    187-15(5)  
    Notice of the making, revocation, variation or suspension of a determination in relation to a specified class of Aboriginal and Torres Strait Islander corporation, or the directors of a specified class of Aboriginal and Torres Strait Islander corporation, must be published in the Gazette.

    187-15(6)  
    A determination under subsection (1) in relation to:

    (a)  a specified class of Aboriginal and Torres Strait Islander corporation; or

    (b)  the directors of a specified class of Aboriginal and Torres Strait Islander corporation; is a legislative instrument.

    187-15(7)  
    A determination under subsection (1) in relation to:

    (a)  a specified Aboriginal and Torres Strait Islander corporation; or

    (b)  the directors of a specified Aboriginal and Torres Strait Islander corporation; is not a legislative instrument.

    SECTION 187-20   CRITERIA FOR DETERMINATIONS  

    187-20(1)  
    In making a determination under section 187-5 or 187-15, the Registrar must be satisfied that the requirements of the relevant exemptible provisions of this Chapter would:

    (a)  be inappropriate in the circumstances; or

    (b)  impose unreasonable burdens. Unreasonable burden

    187-20(2)  
    In deciding for the purposes of subsection (1) if the relevant exemptible provisions impose an unreasonable burden on the corporation or corporations, the Registrar is to have regard to:

    (a)  the expected costs of complying with the obligations; and

    (b)  the expected benefits of having the corporation or corporations comply with the obligations; and

    (c)  any practical difficulties that the corporation or corporations face in complying effectively with the obligations; and

    (d)  any other matters that the Registrar considers relevant.

    CHAPTER 5 - MEETINGS  

    PART 5-1 - INTRODUCTION  

    Division 193 - Introduction  

    SECTION 193-1   WHAT THIS CHAPTER IS ABOUT  

    This Chapter deals with 2 kinds of meetings that Aboriginal and Torres Strait Islander corporations may have - directors' meetings and general meetings.

    This Chapter sets out the rules for those meetings. Some of those rules may be modified or replaced by the corporation's constitution. Others cannot be.

    An Aboriginal and Torres Strait Islander corporation may be exempted in part from some of the requirements of this Chapter (see Part 5-5).

    PART 5-2 - GENERAL MEETINGS  

    Division 198 - Introduction  

    SECTION 198-1   WHAT THIS PART IS ABOUT  

    This Part sets out the rules for holding general meetings. An Aboriginal and Torres Strait Islander corporation is required to hold annual general meetings.

    Some of the rules in this Chapter may be modified or replaced by the corporation's constitution. Others cannot be.

    Division 201 - What are the rules concerning general meetings?  

    Subdivision 201-A - Who may call general meetings?  

    SECTION 201-1   201-1   DIRECTOR MAY CALL MEETINGS (REPLACEABLE RULE - SEE SECTION 60-1)  
    A director of an Aboriginal and Torres Strait Islandercorporation may call a general meeting of the corporation.

    SECTION 201-5   REQUEST BY MEMBERS FOR DIRECTORS TO CALL GENERAL MEETINGS   Which members may make a request?

    201-5(1)  
    The directors of an Aboriginal and Torres Strait Islander corporation must call and arrange to hold a general meeting on the request of at least the required number of members under subsection (4).

    201-5(2)  
    The request must:

    (a)  be in writing; and

    (b)  state any resolution to be proposed at the meeting; and

    (c)  be signed by the members making the request; and

    (d)  nominate a member (the nominated member ) to be the contact member on behalf of the members making the request; and

    (e)  be given to the corporation.

    201-5(3)  
    Separate copies of a document setting out the request may be used for signing by members if the wording of the request is identical in each copy.

    201-5(4)  
    The required number of members for an Aboriginal and Torres Strait Islander corporation is the greater of:

    (a)  5 members of the corporation; or

    (b)  10% of the members of the corporation.

    201-5(5)  
    The regulations may prescribe a different number of members for the purposes of applying paragraph (4)(a) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    Without limiting this, the regulations may specify the number as a percentage of the number of members of the corporation.

    201-5(6)  
    The regulations may prescribe a different percentage for the purposes of applying paragraph (4)(b) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    SECTION 201-10   WHEN MUST DIRECTORS COMPLY WITH MEMBERS' REQUEST?  

    201-10(1)  
    If the directors resolve:

    (a)  that the request under section 201-5 is frivolous or unreasonable; or

    (b)  that complying with the request would be contrary to the interests of the members as a whole;

    a director, on behalf of all of the directors, may apply to the Registrar for permission to deny the request.

    201-10(2)  
    The application must:

    (a)  be in writing; and

    (b)  set out the ground on which the application is made; and

    (c)  be made within 21 days after the request is made.

    201-10(3)  
    The directors must, as soon as is practicable after making the application, give the nominated member notice that an application has been made under subsection (1).

    201-10(4)  
    The Registrar must:

    (a)  determine the application within 21 days after receiving it; and

    (b)  notify the director, the corporation and the nominated member in writing of the outcome of the determination.

    SECTION 201-15   WHEN MUST A REQUESTED MEETING BE HELD?   No application to Registrar under section 201-10

    201-15(1)  
    If a director has not applied to the Registrar under section 201-10 in respect of the request, the directors must call the requested meeting within 21 days after the request is given to the corporation. Application to Registrar under section 201-10

    201-15(2)  
    If:

    (a)  a director has applied under section 201-10 in respect of the request; and

    (b)  the Registrar's decision is that the ground is not made out;

    the directors must call the meeting within 21 days after being notified of the Registrar's determination.

    Subdivision 201-B - How to call general meetings  

    SECTION 201-20   AMOUNT OF NOTICE OF GENERAL MEETINGS   General rule

    201-20(1)  
    Subject to subsection (2), at least 21 days notice must be given of a general meeting. However, an Aboriginal and Torres Strait Islander corporation's constitution may specify a longer minimum period of notice. Calling meetings on shorter notice

    201-20(2)  
    An Aboriginal and Torres Strait Islander corporation:

    (a)  may call an AGM on shorter notice, if all the members of the corporation agree beforehand; and

    (b)  may call any other general meeting on shorter notice, if at least 95% of the members of the corporation agree beforehand.

    An Aboriginal and Torres Strait Islander corporation cannot call an AGM or other general meeting on shorter notice if it is a meeting of the kind referred to in subsection (3) or (4).

    Shorter notice not allowed - removing or appointing director

    201-20(3)  
    At least 21 days notice must be given of a general meeting at which a resolution will be moved to:

    (a)  remove a director under section 249-10; or

    (b)  appoint a director in place of a director removed under that section. Shorter notice not allowed - removing auditor

    201-20(4)  
    At least 21 days notice must be given of a general meeting at which a resolution will be moved to remove an auditor.

    SECTION 201-25   NOTICE OF GENERAL MEETING TO MEMBERS, OFFICERS AND OBSERVERS   Notice to members, officers and observers

    201-25(1)  
    Written notice of a general meeting must be given by the corporation to the following persons:

    (a)  each member entitled to vote at the meeting;

    (b)  each director;

    (c)  the corporation secretary (if any);

    (d)  

    the contact person (if any);

    (e)  any observer entitled to attend the meeting.

    Note:

    A failure to give notice to a member might not invalidate the meeting (see section 576-15).

    Notice to joint members (replaceable rule - see section 60-1)

    201-25(2)  
    Notice to joint members must be given to the joint member named first in the register of members. How notice is given

    201-25(3)  
    The corporation may give the notice of meeting to a member:

    (a)  personally; or

    (b)  by sending it by post to the address for the member in the register of members or the alternative address (if any) nominated by the member; or

    (c)  by sending it to the fax number or electronic address (if any) nominated by the member; or

    (d)  by sending it to the member by other electronic means (if any) nominated by the member; or

    (e)  by notifying the member in accordance with subsection (4); or

    (f)  by any other means that the corporation's constitution (if any) permits.

    Note:

    A defect in the notice given may not invalidate a meeting (see section 576-15).

    201-25(4)  
    If the member nominates:

    (a)  an electronic means (the nominated notification means ) by which the member may be notified that notices of meeting are available; and

    (b)  an electronic means (the nominated access means ) the member may use to access notices of meeting;

    the corporation may give the member notice of the meeting by notifying the member (using the nominated notification means):

    (c)  that the notice of meeting is available; and

    (d)  how the member may use the nominated access means to access the notice of meeting.

    This subsection does not limit subsection (3).

    When notice by post or fax is given (replaceable rule - see section 60-1)

    201-25(5)  
    A notice of meeting sent by post is taken to be given 3 days after it is posted. A notice of meeting sent by fax, or other electronic means, is taken to be given on the business day after it is sent. When notice under paragraph (3)(e) is given (replaceable rule - see section 60-1)

    201-25(6)  
    A notice of meeting given to a member under paragraph (3)(e) is taken to be given on the business day after the day on which the member is notified that the notice of meeting is available.

    SECTION 201-30   AUDITOR ENTITLED TO NOTICE AND OTHER COMMUNICATIONS  

    201-30(1)  
    An Aboriginal and Torres Strait Islander corporation must give its auditor (if any):

    (a)  notice of a general meeting in the same way that a member of the corporation is entitled to receive notice; and

    (b)  any other communications relating to the general meeting that a member of the corporation is entitled to receive.

    Penalty: 5 penalty units.

    Note:

    An auditor may authorise a representative to attend a meeting (see subsection 201-80(4).

    201-30(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 201-35   CONTENTS OF NOTICE OF GENERAL MEETING  

    201-35(1)  
    A notice of a general meeting must:

    (a)  set out the place, date and time for the meeting (and, if the meeting is to be held in 2 or more places, the technology that will be used to facilitate this); and

    (b)  state the general nature of the meeting's business; and

    (c)  if a special resolution is to be proposed at the meeting - set out an intention to propose the special resolution and state the resolution; and

    (d)  if a member is entitled to appoint a proxy - contain a statement setting out the following information:


    (i) that the member has a right to appoint a proxy;

    (ii) whether or not the proxy needs to be a member of the corporation;

    (iii) that a member who is entitled to cast 2 or more votes may appoint 2 proxies and may specify the proportion or number of votes each proxy is appointed to exercise.
    Note:

    There may be other requirements for disclosure to members.

    201-35(2)  
    The information included in the notice of meeting must be worded and presented in a clear, concise and effective manner.

    Subdivision 201-C - Members' rights to put resolutions etc. to general meeting  

    SECTION 201-40   MEMBERS' RESOLUTIONS  

    201-40(1)  
    Notice of a resolution that they propose to move at a general meeting may be given to an Aboriginal and Torres Strait Islander corporation by at least the required number of members under subsection (4).

    201-40(2)  
    The notice must:

    (a)  be in writing; and

    (b)  set out the wording of the proposed resolution; and

    (c)  be signed by the members proposing to move the resolution.

    201-40(3)  
    Separate copies of a document setting out the notice may be used for signing by members if the wording of the notice is identical in each copy.

    201-40(4)  
    The required number of members for an Aboriginal and Torres Strait Islander corporation is the greater of:

    (a)  5 members of the corporation; or

    (b)  10% of the members of the corporation.

    201-40(5)  
    The regulations may prescribe a different number of members for the purposes of applying paragraph (4)(a) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    Without limiting this, the regulations may specify the number as a percentage of the number of members of the corporation.

    201-40(6)  
    The regulations may prescribe a different percentage for the purposes of applying paragraph (4)(b) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    SECTION 201-45   NOTICE OF MEMBERS' RESOLUTIONS  

    201-45(1)  
    If an Aboriginal and Torres Strait Islander corporation has been given notice of a resolution under section 201-40, the resolution is to be considered at the next general meeting that occurs more than 28 days after the notice is given.

    201-45(2)  
    The corporation must give all its members notice of the resolution at the same time, or as soon as practicable afterwards, and in the same way, as it gives notice of a general meeting.

    201-45(3)  
    The corporation is responsible for the cost of giving members notice of the resolution.

    201-45(4)  
    The corporation need not give notice of the resolution if it is defamatory.

    SECTION 201-50   MEMBERS' STATEMENTS TO BE DISTRIBUTED  

    201-50(1)  
    Members may request an Aboriginal and Torres Strait Islander corporation to give to all its members a statement provided by the members making the request about:

    (a)  a resolution that is proposed to be moved at a general meeting; or

    (b)  any other matter that may be properly considered at a general meeting.

    201-50(2)  
    The request must be made by at least the required number of members under subsection (8).

    201-50(3)  
    The request must be:

    (a)  in writing; and

    (b)  signed by the members making the request; and

    (c)  given to the corporation.

    201-50(4)  
    Separate copies of a document setting out the request may be used for signing by members if the wording of the request is identical in each copy.

    201-50(5)  
    After receiving the request, the corporation must distribute to all its members a copy of the statement at the same time, or as soon as practicable afterwards, and in the same way, as it gives notice of the general meeting.

    201-50(6)  
    The corporation is responsible for the cost of making the distribution.

    201-50(7)  
    The corporation need not comply with the request if the statement is defamatory.

    201-50(8)  
    The required number of members for an Aboriginal and Torres Strait Islander corporation is the greater of:

    (a)  5 members of the corporation; or

    (b)  10% of the members of the corporation.

    201-50(9)  
    The regulations may prescribe a different number of members for the purposes of paragraph applying (8)(a) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    Without limiting this, the regulations may specify the number as a percentage of the number of members of the corporation.

    201-50(10)  
    The regulations may prescribe a different percentage for the purposes of applying paragraph (8)(b) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    Subdivision 201-D - Holding general meetings  

    SECTION 201-55   201-55   PURPOSE  
    A general meeting must be held for a proper purpose.

    SECTION 201-60   201-60   TIME AND PLACE FOR GENERAL MEETING  
    A general meeting must be held at a reasonable time and place.

    SECTION 201-65   201-65   TECHNOLOGY  
    An Aboriginal and Torres Strait Islander corporation may hold a general meeting at 2 or more venues using any technology that gives the members as a whole a reasonable opportunity to participate.

    Note:

    See section 576-15 for the consequences of a member not being given a reasonable opportunity to participate.

    SECTION 201-70   QUORUM   Quorum (replaceable rule - see section 60-1)

    201-70(1)  
    If an Aboriginal and Torres Strait Islander corporation has 11 or more members, the quorum for a meeting of the corporation's members is the lesser of:

    (a)  10 members; or

    (b)  the greater of:


    (i) the number of members holding 10% of the voting rights; or

    (ii) 2 members.
    Corporations with 10 members or less (replaceable rule - see section 60-1)

    201-70(2)  
    If an Aboriginal and Torres Strait Islander corporation has 10 members or less, the quorum for a meeting of the corporation's members is 2 members. Quorum to be present

    201-70(3)  
    The quorum must be present at all times during the meeting. How to determine if quorum is present

    201-70(4)  
    In determining whether a quorum is present, count individuals attending as proxies or body corporate representatives. However, if a member has appointed more than 1 proxy or representative, count only 1 of them. If an individual is attending both as a member and as a proxy or body corporate representative, count them only once.

    Note 1:

    For rights to appoint proxies, see section 201-90.

    Note 2:

    For body corporate representatives, see section 201-110.

    Adjourned meeting (replaceable rule - see section 60-1)

    201-70(5)  
    A meeting of the corporation's members that does not have a quorum present within 1 hour after the time for the meeting set out in the notice of meeting is adjourned to the same time of the same day in the next week, and to the same place, unless the directors specify otherwise. No quorum at resumed meeting (replaceable rule - see section 60-1)

    201-70(6)  
    If no quorum is present at the resumed meeting within 1 hour after the time for the meeting, the meeting is dissolved.

    SECTION 201-75   CHAIRING GENERAL MEETING (REPLACEABLE RULE - SEE SECTION 60-1)  

    201-75(1)  
    The directors may elect an individual to chair general meetings.

    201-75(2)  
    The directors at a general meeting must elect an individual present to chair the meeting (or part of it) if an individual has not already been elected by the directors to chair it or, having been elected, is not available to chair it, or declines to act, for the meeting (or part of the meeting).

    201-75(3)  
    The members at a general meeting must elect a member present to chair the meeting (or part of it) if:

    (a)  a chair has not previously been elected by the directors to chair the meeting; or

    (b)  a previously elected chair is not available, or declines to act, for the meeting (or part of the meeting).

    201-75(4)  
    The chair must adjourn a general meeting if the members present with a majority of votes at the meeting agree or direct that the chair must do so.

    SECTION 201-80   AUDITOR'S RIGHT TO BE HEARD AT GENERAL MEETINGS  

    201-80(1)  
    If an Aboriginal and Torres Strait Islander corporation has an auditor, the auditor is entitled to attend any general meeting of the corporation.

    Note:

    See section 333-20 for when a financial report is required to be audited.

    201-80(2)  
    The auditor is entitled to be heard at the meeting on any part of the business of the meeting that concerns the auditor in the auditor's capacity as auditor.

    201-80(3)  
    The auditor is entitled to be heard even if:

    (a)  the auditor retires at the meeting; or

    (b)  the meeting passes a resolution to remove the auditor from office.

    201-80(4)  
    The auditor may authorise a person in writing as the auditor's representative for the purpose of attending and speaking at any general meeting.

    Note:

    At an AGM, members may ask the auditor questions (see section 201-170).

    SECTION 201-85   ADJOURNED MEETINGS   When resolution passed

    201-85(1)  
    A resolution passed at a general meeting resumed after an adjournment is passed on the day it was passed. Business at adjourned meetings (replaceable rule - see section 60-1)

    201-85(2)  
    Only unfinished business is to be transacted at a general meeting resumed after an adjournment.

    Subdivision 201-E - Proxies  

    SECTION 201-90   WHO MAY APPOINT A PROXY (REPLACEABLE RULE - SEE SECTION 60-1)   Who may appoint proxy

    201-90(1)  
    A member of an Aboriginal and Torres Strait Islander corporation who is entitled to attend and cast a vote at a general meeting may appoint a person as the member's proxy to attend and vote for the member at the meeting. Proxy may be individual or a body corporate

    201-90(2)  
    The person appointed as the member's proxy may be an individual or a body corporate.

    Note:

    A body corporate may appoint a representative to exercise the powers that the body corporate may exercise as the member's proxy (see section 201-110).

    201-90(3)  
    The appointment may specify the proportion or number of votes that the proxy may exercise.

    SECTION 201-95   RIGHTS OF PROXIES   Rights of proxies

    201-95(1)  
    A proxy appointed to attend and vote for a member has the same rights as the member:

    (a)  to speak at the meeting; and

    (b)  to vote (but only to the extent allowed by the appointment); and

    (c)  join in a demand for a poll. Proxy's right to vote

    201-95(2)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide that a proxy is not entitled to vote on a show of hands.

    Note:

    Even if the proxy is not entitled to vote on a show of hands, they may make or join in the demand for a poll.

    Effect of member's presence on proxy's authority

    201-95(3)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide for the effect that a member's presence at a meeting has on the authority of a proxy appointed to attend and vote for the member. However, if the constitution does not deal with this, a proxy's authority to speak and vote for a member at a meeting is suspended while the member is present at the meeting. Exercise of proxies

    201-95(4)  
    A person must not exercise proxies for more than the number of members:

    (a)  prescribed in the regulations for the purposes of this subsection; or

    (b)  worked out using the method prescribed in the regulations for the purposes of this subsection.

    Penalty: 5 penalty units.

    201-95(5)  
    To avoid doubt, a contravention of subsection (4) does not affect the validity of the votes cast.

    SECTION 201-100   APPOINTING A PROXY  

    201-100(1)  
    An appointment of a proxy is valid if it is signed, or otherwise authenticated in a manner prescribed by the regulations, by the member of the Aboriginal and Torres Strait Islander corporation making the appointment and contains the following information:

    (a)  the member's name and address;

    (b)  the corporation's name;

    (c)  the proxy's name or the name of the office held by the proxy;

    (d)  the meetings at which the appointment may be used.

    An appointment may be a standing one.

    201-100(2)  
    The regulations made for the purposes of subsection (1) may prescribe different requirements for the authentication of an appointment given to the corporation by different means (electronic or otherwise).

    201-100(3)  
    The corporation's constitution may provide that an appointment is valid even ifit contains only some of the information required by subsection (1).

    201-100(4)  
    An undated appointment is taken to have been dated on the day it is given to the corporation.

    201-100(5)  
    An appointment may specify the way the proxy is to vote on a particular resolution. If it does:

    (a)  the proxy need not vote on a show of hands, but if the proxy does so, the proxy must vote that way; and

    (b)  if the proxy has 2 or more appointments that specify different ways to vote on the resolution - the proxy must not vote on a show of hands; and

    (c)  if the proxy is the chair - the proxy must vote on a poll, and must vote that way; and

    (d)  if the proxy is not the chair - the proxy need not vote on a poll, but if the proxy does so, the proxy must vote that way.

    If a proxy is also a member, this subsection does not affect the way that the person can cast any votes they hold as a member.

    Note:

    An Aboriginal and Torres Strait Islander corporation's constitution may provide that a proxy is not entitled to vote on a show of hands (see subsection 201-95(2)).

    201-100(6)  
    A person who contravenes subsection (5) commits an offence, but only if the person's appointment as a proxy resulted from the corporation sending to members:

    (a)  a list of persons willing to act as proxies; or

    (b)  a proxy appointment form holding the person out as being willing to act as a proxy.

    Penalty: 5 penalty units.

    201-100(7)  
    An offence against subsection (6) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    201-100(8)  
    An appointment does not have to be witnessed.

    201-100(9)  
    A later appointment revokes an earlier one if both appointments could not be validly exercised at the meeting.

    SECTION 201-105   PROXY DOCUMENTS   Documents to be received by corporation before meeting

    201-105(1)  
    For an appointment of a proxy for a meeting of members of an Aboriginal and Torres Strait Islander corporation to be effective, the following documents must be received by the corporation at least 48 hours before the meeting:

    (a)  the proxy's appointment;

    (b)  if the appointment is signed, or otherwise authenticated in a manner prescribed by regulations made for the purposes of subsection 201-100(1), by the appointor's attorney - the authority under which the appointment was signed or authenticated or a certified copy of the authority. Documents received following adjournment of meeting

    201-105(2)  
    If a meeting of the corporation's members has been adjourned, an appointment and any authority received by the corporation at least 48 hours before the resumption of the meeting are effective for the resumed part of the meeting. Constitution or notice of meeting may provide for different notification period

    201-105(3)  
    The corporation's constitution or the notice of meeting may reduce the period of 48 hours referred to in subsection (1) or (2).

    SECTION 201-110   BODY CORPORATE REPRESENTATIVE  

    201-110(1)  
    A body corporate may appoint an individual as a representative to exercise all or any of the powers the body corporate may exercise:

    (a)  at meetings of an Aboriginal and Torres Strait Islander corporation's members; or

    (b)  at meetings of creditors; or

    (c)  relating to resolutions to be passed without meetings; or

    (d)  in the capacity of a member's proxy appointed under section 201-90.

    The appointment may be a standing one.

    201-110(2)  
    The appointment may set out restrictions on the representative's powers. If the appointment is to be by reference to a position held, the appointment must identify the position.

    201-110(3)  
    A body corporate may appoint more than 1 representative but only 1 representative may exercise the body's powers at any one time.

    201-110(4)  
    c's behalf, all of the powers that the body could exercise at a meeting or in voting on a resolution.

    Note:

    For resolutions of members without meetings, see Division 204.

    Subdivision 201-F - Voting at general meetings  

    SECTION 201-115   HOW MANY VOTES A MEMBER HAS (REPLACEABLE RULE - SEE SECTION 60-1)  

    201-115(1)  
    At a general meeting, each member of an Aboriginal and Torres Strait Islander corporation has 1 vote, both on a show of hands and a poll. Chair's casting vote

    201-115(2)  
    The chair has a casting vote, and also, if he or she is a member, any vote he or she has as a member.

    Note 1:

    The chair may be precluded from voting, for example, by a conflict of interest.

    Note 2:

    For rights to appoint proxies, see section 201-90.

    SECTION 201-120   201-120   OBJECTIONS TO RIGHT TO VOTE (REPLACEABLE RULE - SEE SECTION 60-1)  
    A challenge to a right to vote at a general meeting:

    (a)  may only be made at the meeting; and

    (b)  must be determined by the chair, whose decision is final.

    SECTION 201-125   HOW VOTING IS CARRIED OUT (REPLACEABLE RULE - SEE SECTION 60-1)  

    201-125(1)  
    A resolution put to the vote at a general meeting must be decided on a show of hands unless a poll is demanded.

    201-125(2)  
    Before a vote is taken the chair must inform the meeting whether any proxy votes have been received and how the proxy votes are to be cast.

    201-125(3)  
    On a show of hands, a declaration by the chair is conclusive evidence of the result, provided that the declaration reflects the show of hands and the votes of the proxies received. Neither the chair nor the minutes need to state the number or proportion of the votes recorded in favour or against.

    Note:

    Even though the chair's declaration is conclusive of the voting results, the members present may demand a poll (see section 201-130).

    SECTION 201-130   MATTERS ON WHICH A POLL MAY BE DEMANDED  

    201-130(1)  
    Subject to subsection (2), at a general meeting, a poll may be demanded on any resolution.

    201-130(2)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide that a poll cannot be demanded on any resolution concerning:

    (a)  the election of the chair of a meeting; or

    (b)  the adjournment of a meeting.

    201-130(3)  
    A demand for a poll may be withdrawn.

    SECTION 201-135   WHEN A POLL IS EFFECTIVELY DEMANDED  

    201-135(1)  
    At a general meeting, a poll may be demanded by:

    (a)  at least 5 members entitled to vote on the resolution; or

    (b)  members with at least 5% of the votes that may be cast on the resolution on a poll; or

    (c)  the chair.

    Note:

    A proxy may join in the demand for a poll (see paragraph 201-95(1)(c)).

    201-135(2)  
    An Aboriginal and Torres Strait Islander corporation's constitution may provide that fewer members or members with a lesser percentage of votes may demand a poll.

    201-135(3)  
    The poll may be demanded:

    (a)  before a vote is taken; or

    (b)  before the voting results on a show of hands are declared; or

    (c)  immediately after the voting results on a show of hands are declared.

    SECTION 201-140   WHEN AND HOW POLLS MUST BE TAKEN (REPLACEABLE RULE - SEE SECTION 60-1)  

    201-140(1)  
    At a general meeting, a poll demanded on a matter other than the election of a chair or the question of an adjournment must be taken when and in the manner the chair directs.

    201-140(2)  
    At a general meeting, a poll on the election of a chair or on the question of an adjournment must be taken immediately.

    Subdivision 201-G - First general meeting and annual general meetings  

    SECTION 201-145   CORPORATION MUST HOLD FIRST GENERAL MEETING WITHIN 3 MONTHS OF REGISTRATION  

    201-145(1)  
    An Aboriginal and Torres Strait Islander corporation must hold a general meeting of members within 3 months after the corporation is registered.

    Penalty: 10 penalty units.

    201-145(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 201-150   CORPORATION MUST HOLD AGM  

    201-150(1)  
    An Aboriginal and Torres Strait Islander corporation must hold an AGM within 5 months after the end of its financial year.

    Penalty: 10 penalty units.

    201-150(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    201-150(3)  
    An AGM is to be held in addition to any other meetings held by an Aboriginal and Torres Strait Islander corporation in the year.

    201-150(4)  
    An Aboriginal and Torres Strait Islander corporation that has only 1 member is not required to hold an AGM under this section.

    SECTION 201-155   EXTENSION OF TIME FOR HOLDING AGM  

    201-155(1)  
    An Aboriginal and Torres Strait Islander corporation may lodge an application with the Registrar to extend the period within which section 201-150 requires the corporation to hold an AGM.

    201-155(2)  
    If the corporation applies before the end of the period within which the corporation would otherwise be required to hold an AGM, the Registrar may, by written notice to the corporation, extend the period. The Registrar must specify the period of the extension.

    201-155(3)  
    An Aboriginal and Torres Strait Islander corporation granted an extension under subsection (2) must hold its AGM within the extended period.

    Penalty: 10 penalty units.

    201-155(4)  
    The Registrar may impose conditions on the extension and the corporation must comply with those conditions.

    Penalty: 10 penalty units.

    201-155(5)  
    An offence against subsection (3) or (4) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 201-160   201-160   BUSINESS OF AGM  
    The business of an AGM may include any of the following, even if not referred to in the notice of meeting:

    (a)  the consideration of the reports that under Chapter 7 are required to be laid before the AGM;

    (b)  the election of directors;

    (c)  the appointment and remuneration of the auditor (if any).

    SECTION 201-165   QUESTIONS AND COMMENTS BY MEMBERS ON CORPORATION MANAGEMENT AT AGM  

    201-165(1)  
    The chair of an AGM must allow a reasonable opportunity for the members as a whole at the meeting to ask questions about or make comments on the management of the corporation.

    Penalty: 5 penalty units.

    201-165(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 201-170   QUESTIONS BY MEMBERS OF AUDITORS AT AGM  

    201-170(1)  
    If an Aboriginal and Torres Strait Islander corporation's auditor (if any) or the auditor's representative is at an AGM, the chair of the meeting must allow a reasonable opportunity for the members as a whole at the meeting to ask the auditor or the auditor's representative questions relevant to:

    (a)  the conduct of the audit; and

    (b)  the preparation and content of the auditor's report; and

    (c)  the accounting policies adopted by the corporation in relation to the preparation of the financial statements; and

    (d)  the independence of the auditor in relation to the conduct of the audit.

    Penalty: 5 penalty units.

    201-170(2)  
    An offence against subsection (1) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    Division 204 - Resolutions without a general meeting  

    SECTION 204-1   CIRCULATING RESOLUTIONS  

    204-1(1)  
    An Aboriginal and Torres Strait Islander corporation may pass a resolution without a general meeting being held if all the members entitled to vote on the resolution sign a document containing a statement that they are in favour of the resolution set out in the document. Each member of a joint membership must sign.

    204-1(2)  
    Subsection (1) does not apply to a resolution to remove an auditor.

    204-1(3)  
    Separate copies of a document may be used for signing by members if the wording of the resolution and statement is identical in each copy.

    204-1(4)  
    The resolution is passed when the last member signs.

    204-1(5)  
    An Aboriginal and Torres Strait Islander corporation that passes a resolution under this section without holding a meeting satisfies any requirement in this Act:

    (a)  to give members information or a document relating to the resolution - by giving members that information or document with the document to be signed; and

    (b)  to lodge with the Registrar a copy of a notice of meeting to consider the resolution - by lodging a copy of the document to be signed by members; and

    (c)  to lodge a copy of a document that accompanies a notice of meeting to consider the resolution - by lodging a copy of the information or documents referred to in paragraph (a).

    204-1(6)  
    The passage of theresolution satisfies any requirement in this Act, or the corporation's constitution, that the resolution be passed at a general meeting.

    204-1(7)  
    This section does not affect any rule of law relating to the assent of members not given at a general meeting.

    Note 1:

    Passage of a resolution under this section must be recorded in the corporation's minute books (see section 220-5).

    Note 2:

    A body corporate representative may sign a circulating resolution (see section 201-110).

    SECTION 204-5   RESOLUTIONS OF 1 MEMBER CORPORATIONS  

    204-5(1)  
    An Aboriginal and Torres Strait Islander corporation that has only 1 member may pass a resolution by the member recording it and signing the record.

    204-5(2)  
    If this Act requires information or a document relating to the resolution to be lodged with the Registrar, that requirement is satisfied by lodging the information or document with the resolution that is passed.

    Note 1:

    Passage of a resolution under this section must be recorded in the corporation's minute books (see section 220-5).

    Note 2:

    A body corporate representative may sign such a resolution (see section 201-110).

    PART 5-3 - DIRECTORS' MEETINGS  

    Division 209 - Introduction  

    SECTION 209-1   WHAT THIS PART IS ABOUT  

    This Part sets out the rules for directors' meetings. Some of those rules may be modified or replaced by an Aboriginal and Torres Strait Islander corporation's constitution. Others cannot be.

    Division 212 - What are the rules concerning directors' meetings?  

    SECTION 212-1   212-1   CONSTITUTION TO PROVIDE FOR MEETINGS  
    The constitution of an Aboriginal and Torres Strait Islander corporation must specify how often directors' meetings are to be held.

    SECTION 212-5   212-5   CALLING DIRECTORS' MEETINGS (REPLACEABLE RULE - SEE SECTION 60-1)  
    A directors' meeting may be called by a director giving reasonable notice individually to every other director.

    Note:

    A director who has appointed an alternate director may ask for the notice to be given to the alternate director (see subsection 246-30(2)).

    SECTION 212-10   212-10   USE OF TECHNOLOGY  
    A directors' meeting may be called or held using any technology consented to by all the directors. The consent may be a standing one. A director may only withdraw his or her consent within a reasonable period before the meeting.

    SECTION 212-15   CHAIRING DIRECTORS' MEETINGS (REPLACEABLE RULE - SEE SECTION 60-1)  

    212-15(1)  
    The directors may elect a director to chair their meetings. The directors may determine the period for which the director is to be the chair.

    212-15(2)  
    The directors must elect a director present to chair a meeting, or part of it, if:

    (a)  a director has not already been elected to chair the meeting; or

    (b)  a previously elected chair is not available, or declines to act, for the meeting or the part of the meeting.

    SECTION 212-20   212-20   QUORUM AT DIRECTORS' MEETINGS  
    The quorum for a directors' meeting is a majority of the directors and the quorum must be present at all times during the meeting.

    Note:

    For resolutions of 1 director Aboriginal and Torres Strait Islander corporations without meetings, see section 215-5.

    SECTION 212-25   PASSING OF DIRECTORS' RESOLUTIONS (REPLACEABLE RULE - SEE SECTION 60-1)  

    212-25(1)  
    A resolution of the directors must be passed by a majority of the votes cast by directors entitled to vote on the resolution.

    212-25(2)  
    The chair has a casting vote if necessary in addition to any vote he or she has as a director.

    Division 215 - Resolutions and declarations without meetings  

    SECTION 215-1   CIRCULATING RESOLUTIONS OF CORPORATION WITH MORE THAN 1 DIRECTOR (REPLACEABLE RULE - SEE SECTION 60-1)   Resolutions

    215-1(1)  
    If an Aboriginal and Torres Strait Islander corporation has more than 1 director, the directors of the corporation may pass a resolution without a directors' meeting being held if all the directors entitled to vote on the resolution sign a document containing a statement that they are in favour of the resolution set out in the document. Copies

    215-1(2)  
    Separate copies of a document may be used for signing by directors if the wording of the resolution and statement is identical in each copy. When the resolution is passed

    215-1(3)  
    The resolution is passed when the last director signs.

    Note:

    Passage of a resolution under this section must be recorded in the corporation's minute books (see section 220-5).

    SECTION 215-5   RESOLUTIONS AND DECLARATIONS OF 1 DIRECTOR CORPORATION   Resolutions

    215-5(1)  
    The director of an Aboriginal and Torres Strait Islander corporation that has only 1 director may pass a resolution by recording it and signing the record. Declarations

    215-5(2)  
    The director of an Aboriginal and Torres Strait Islander corporation that has only 1 director may make a declaration by recording it and signing the record. Recording and signing the declaration satisfies any requirement in this Act that the declaration be made at a directors' meeting.

    Note:

    Passage of a resolution or the making of a declaration under this section must be recorded in the corporation's minute books (see section 220-5).

    PART 5-4 - MINUTES OF MEETINGS  

    Division 220 - Minutes of meetings  

    SECTION 220-1   WHAT THIS PART IS ABOUT  

    An Aboriginal and Torres Strait Islander corporation is required to keep minutes of its general meetings and its directors' meetings and the passing of any resolutions without a meeting.

    Minutes may be kept in writing or by means of an audio or video recording.

    None of the rules in this Part may be modified or replaced by the corporation's constitution.

    SECTION 220-5   MINUTES  

    220-5(1)  
    An Aboriginal and Torres Strait Islander corporation must keep minute books in which it records within 1 month:

    (a)  proceedings and resolutions of general meetings; and

    (b)  proceedings and resolutions of directors' meetings (including meetings of a committee of directors); and

    (c)  resolutions passed by members without a meeting; and

    (d)  resolutions passed by directors without a meeting; and

    (e)  if the corporation has only 1 director - the making of declarations by the director.

    Penalty: 10 penalty units.

    Note:

    For resolutions and declarations without meetings, see Divisions 204 and 215.

    220-5(2)  
    The minutes of the whole, or a part, of the meeting may be kept:

    (a)  in writing; or

    (b)  by means of an audio, or audio-visual, recording.

    220-5(3)  
    If the minutes of the whole, or a part, of the meeting are kept by means of an audio, or audio-visual, recording of the meeting, the corporation must ensure that, on the recording:

    (a)  each person attending the meeting states his or her name; and

    (b)  if a person attending the meeting holds a proxy - the person states the name of the person for whom the person is acting as proxy.

    Penalty: 10 penalty units.

    220-5(4)  
    If the minutes of the whole, or a part, of the meeting (the first meeting ) are kept in writing, the corporation must ensure that either:

    (a)  the chair of the meeting; or

    (b)  the chair of the next meeting;

    signs those minutes within a reasonable time after the first meeting.

    Penalty: 10 penalty units.

    220-5(5)  
    If the minutes of the whole, or a part, of the meeting (the first meeting ) are kept by means of an audio, or audio-visual, recording, the corporation must ensure that either:

    (a)  the chair of the meeting; or

    (b)  the chair of the next meeting;

    signs a declaration under subsection (6) within a reasonable time after the first meeting.

    Penalty: 10 penalty units.

    220-5(6)  
    The declaration under this subsection must:

    (a)  identify the audio, or audio-visual, recording; and

    (b)  if the recording is not a recording of the whole of the meeting - identify the part of the meeting that is recorded; and

    (c)  declare that the recording constitutes the minutes of the meeting or that part of the meeting.

    220-5(7)  
    The corporation must ensure that minutes of the passing of a resolution without a meeting are signed by a director within a reasonable time after the resolution is passed.

    Penalty: 10 penalty units.

    220-5(8)  
    The director of an Aboriginal and Torres Strait Islander corporation with only 1 director must sign the minutes of the making of a declaration by the director within a reasonable time after the declaration is made.

    Penalty: 10 penalty units.

    220-5(9)  
    An Aboriginal and Torres Strait Islander corporation must keep its minute books at:

    (a)  its registered office if it is registered as a large corporation; or

    (b)  its document access address if it is registered as a small or medium corporation.

    Penalty: 10 penalty units.

    220-5(10)  
    An offence against subsection (1), (3), (4), (5), (7), (8) or (9) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    220-5(11)  
    A minute that is recorded and signed in accordance with this section is evidence of the proceeding, resolution or declaration to which it relates, unless the contrary is proved.

    SECTION 220-10   MEMBERS' ACCESS TO MINUTES  

    220-10(1)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must make available for inspection by members, at its registered office, the minute books for the meetings of its members and for resolutions of members passed without meetings. The books must be made available for inspection each business day from at least 10 am to 12 noon and from at least 2 pm to 4 pm.

    Note:

    Failing to comply with this subsection is an offence under section 376-1.

    220-10(2)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation must make available for inspection by members, at its document access address, the minute books for the meetings of its members and for resolutions of members passed without meetings. The books must be made available within 7 days of a member's written request for inspection.

    Note:

    Failing to comply with this subsection is an offence under section 376-1.

    220-10(3)  
    A corporation must make minutes available under subsections (1) and (2) free of charge.

    Penalty: 5 penalty units.

    220-10(4)  
    A member of an Aboriginal and Torres Strait Islander corporation may ask the corporation in writing for a copy of:

    (a)  any minutes of a meeting of the corporation's members or an extract of the minutes; or

    (b)  any minutes of a resolution passed by members without a meeting.

    Note:

    The member may ask the corporation for an English translation under subsection 376-5(3) if the minutes are not in the English language.

    220-10(5)  
    If the corporation does not require the member to pay for the copy, the corporation must send it:

    (a)  within 14 days after the member asks for it; or

    (b)  within any longer period that the Registrar approves.

    Penalty: 5 penalty units.

    220-10(6)  
    If the corporation requires payment for the copy, the corporation must send it:

    (a)  within 14 days after the corporation receives the payment; or

    (b)  within any longer period that the Registrar approves.

    The amount of any payment the corporation requires cannot exceed the prescribed amount.

    Penalty: 5 penalty units.

    220-10(7)  


    An offence against subsection (3), (5) or (6) is an offence of strict liability.
    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    PART 5-5 - EXEMPTION FROM OPERATION OF THIS CHAPTER  

    Division 225 - Exemption from operation of this Chapter  

    SECTION 225-1   WHAT THIS PART IS ABOUT  

    The Registrar may exempt an Aboriginal and Torres Strait Islander corporation from some or all of the provisions of this Chapter. The Registrar may do so on application or on his or her own volition.

    SECTION 225-5   EXEMPTION FROM THE PROVISIONS OF THIS CHAPTER  

    225-5(1)  
    On an application made in accordance with subsection (2) in relation to an Aboriginal and Torres Strait Islander corporation, the Registrar may make a determination in writing exempting any of the following from the provisions of this Chapter specified in the Registrar's determination:

    (a)  the corporation itself;

    (b)  the directors of the corporation.

    Note:

    For the criteria for making orders under this section, see section 225-20.

    225-5(2)  
    The application must:

    (a)  specify the provisions in relation to which the exemption is being sought; and

    (b)  be authorised by a resolution of the directors; and

    (c)  be in writing and signed by a director; and

    (d)  be lodged with the Registrar.

    225-5(3)  
    The determination may:

    (a)  be expressed to be subject to conditions; and

    (b)  be indefinite or limited to a specified period.

    225-5(4)  
    The Registrar may, in writing, revoke, vary or suspend the determination.

    225-5(5)  
    The Registrar must give the applicant written notice within 28 days of the making, revocation, variation or suspension of the determination.

    225-5(6)  
    A determination under subsection (1), or a revocation, variation or suspension under subsection (4), is not a legislative instrument.

    SECTION 225-10   REGISTRAR MAY MAKE DETERMINATION EVEN IF APPLICATION IS INCOMPLETE  
    Despite subsection 225-5(2), the Registrar may make a determination even if the application does not specify the provisions in relation to which the exemption is being sought.

    SECTION 225-15   REGISTRAR'S POWER TO MAKE DETERMINATIONS  

    225-15(1)  
    The Registrar may determine in writing that:

    (a)  a specified Aboriginal and Torres Strait Islander corporation or a specified class of Aboriginal and Torres Strait Islander corporation; and

    (b)  the directors of a specified Aboriginal and Torres Strait Islander corporation or of a specified class of Aboriginal and Torres Strait Islander corporation (as the case may be);

    are exempted from the provisions of this Chapter specified in the Registrar's determination.

    Note:

    For the criteria for making orders under this section, see section 225-20.

    225-15(2)  
    The determination may:

    (a)  be expressed to be subject to conditions; and

    (b)  be indefinite or limited to a specified period.

    225-15(3)  
    The Registrar may, in writing, revoke, vary or suspend the determination.

    225-15(4)  
    Notice of the making, revocation, variation or suspension of a determination in relation to a specified class of Aboriginal and Torres Strait Islander corporation, or the directors of a specified class of Aboriginal and Torres Strait Islander corporation, must be published in the Gazette.

    225-15(5)  
    A determination under subsection (1) in relation to:

    (a)  a specified class of Aboriginal and Torres Strait Islander corporation; or

    (b)  the directors of a specified class of Aboriginal and Torres Strait Islander corporation;

    is a legislative instrument.

    225-15(6)  
    A determination under subsection (1) in relation to:

    (a)  a specified Aboriginal and Torres Strait Islander corporation; or

    (b)  the directors of a specified Aboriginal and Torres Strait Islander corporation;

    is not a legislative instrument.

    SECTION 225-20   CRITERIA FOR DETERMINATIONS  

    225-20(1)  
    In making a determination under section 225-5 or 225-15, the Registrar must be satisfied that the requirements of provisions of this Chapter would:

    (a)  be inappropriate in the circumstances; or

    (b)  impose unreasonable burdens. Unreasonable burden

    225-20(2)  
    In deciding for the purposes of subsection (1) if the provisions impose an unreasonable burden on the corporation or corporations, the Registrar is to have regard to:

    (a)  the expected costs of complying with the obligations; and

    (b)  the expected benefits of having the corporation or corporations comply with the obligations; and

    (c)  any practical difficulties that the corporation or corporations face in complying effectively with the obligations; and

    (d)  any other matters that the Registrar considers relevant.

    CHAPTER 6 - OFFICERS  

    PART 6-1 - INTRODUCTION  

    Division 235 - Introduction  

    SECTION 235-1   WHAT THIS CHAPTER IS ABOUT  

    This Chapter deals with the officers of an Aboriginal and Torres Strait Islander corporation.

    Part 6-2 deals with the appointment and remuneration and the cessation of appointment of directors.

    Part 6-3 deals with the appointment of secretaries and contact persons.

    Part 6-4 deals with the duties and powers of directors and other officers and employees.

    Part 6-5 deals with the disqualification of persons from managing Aboriginal and Torres Strait Islander corporations.

    Part 6-6 deals with related party transactions.

    Part 6-7 deals with public information about officers of Aboriginal and Torres Strait Islander corporations.

    PART 6-2 - APPOINTMENT, REMUNERATION AND CESSATION OF APPOINTMENT OF DIRECTORS  

    Division 240 - Introduction  

    SECTION 240-1   WHAT THIS PART IS ABOUT  

    This Part deals with the directors of an Aboriginal and Torres Strait Islander corporation.

    Division 243 deals with the minimum and maximum number of directors that a corporation may have.

    Divisions 246 and 249 deal with the appointment, resignation and removal of directors.

    Division 252 deals with the remuneration of directors.

    Division 243 - Number of directors  

    SECTION 243-1   MINIMUM NUMBER OF DIRECTORS   Corporations with 1 member

    243-1(1)  
    An Aboriginal and Torres Strait Islander corporation that has 1 member must have at least 1 director. Corporations with 2 members

    243-1(2)  
    An Aboriginal and Torres Strait Islander corporation that has 2 members must have at least 2 directors. Corporations with more than 2 members

    243-1(3)  
    An Aboriginal and Torres Strait Islander corporation that has more than 2 members must have at least 3 directors.

    SECTION 243-5   243-5   MAXIMUM NUMBER OF DIRECTORS  
    An Aboriginal and Torres Strait Islander corporation must not have more than:

    (a)  12 directors; or

    (b)  if the regulations prescribe a different number of directors for the purpose of this paragraph - that number of directors.

    Note:

    An application may be made to exempt the corporation from the requirements of this section (see section 310-5).

    Division 246 - Appointment of directors  

    SECTION 246-1   ELIGIBILITY FOR APPOINTMENT AS A DIRECTOR  

    246-1(1)  
    Only an individual who is at least 18 years of age may be appointed as a director of an Aboriginal and Torres Strait Islander corporation.

    246-1(2)  
    An individual who is disqualified from managing Aboriginal and Torres Strait Islander corporations under Part 6-5 may only be appointed as a director of an Aboriginal and Torres Strait Islander corporation if the appointment is made:

    (a)  with permission granted by the Registrar under section 279-30; or

    (b)  with leave granted by the Court under section 279-35.

    246-1(3)  
    Unless an Aboriginal and Torres Strait Islander corporation's constitution provides otherwise, the following may not be appointed as a director of the corporation:

    (a)  an individual who is not a member of the corporation;

    (b)  an individual who is not an Aboriginal and Torres Strait Islander person.

    SECTION 246-5   MAJORITY OF DIRECTOR REQUIREMENTS  

    246-5(1)  
    A majority of the directors of an Aboriginal and Torres Strait Islander corporation must be individuals who are Aboriginal and Torres Strait Islander persons.

    246-5(2)  
    A majority of the directors of the corporation must ordinarily reside in Australia.

    246-5(3)  
    A majority of the directors of the corporation must be members of the corporation.

    246-5(4)  
    A majority of the directors of the corporation must not be employees of the corporation.

    246-5(5)  
    If a person is performing a chief executive officer function in relation to the corporation, the person may be a director of the corporation but cannot chair the directors' meetings. The person counts as an employee for the purposes of determining under subsection (4) whether a majority of directors are employees.

    Note:

    For the meaning of chief executive officer function , see section 694-85.

    SECTION 246-10   CONSENT TO ACT AS DIRECTOR  

    246-10(1)  
    An Aboriginal and Torres Strait Islander corporation contravenes this subsection if a person does not give the corporation a signed consent to act as a director of the corporation before being appointed.

    Penalty: 10 penalty units.

    246-10(2)  
    The corporation must keep the consent.

    Penalty: 5 penalty units.

    246-10(3)  
    An offence against subsection (1) or (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 246-15   246-15   CORPORATION MAY APPOINT A DIRECTOR (REPLACEABLE RULE - SEE SECTION 60-1)  
    An Aboriginal and Torres Strait Islander corporation may appoint a person as a director by resolution passed in general meeting.

    SECTION 246-20   DIRECTORS MAY APPOINT OTHER DIRECTORS TO MAKE UP A QUORUM (REPLACEABLE RULE - SEE SECTION 60-1)   Appointment by other directors

    246-20(1)  
    Subject to section 243-5 (maximum number of directors), the directors of an Aboriginal and Torres Strait Islander corporation may appoint a person as a director.

    246-20(2)  
    A person can be appointed under subsection (1) in order to make up a quorum for a directors' meeting even if the total number of directors of the corporation is not enough to make up that quorum. Confirmation by next AGM

    246-20(3)  
    If a person is appointed under subsection (1), the corporation must confirm the appointment by resolution at the corporation's next AGM. If the appointment is not confirmed, the person ceases to be a director of the corporation at the end of the AGM.

    SECTION 246-25   TERM OF APPOINTMENT   Directors appointed on registration (replaceable rule - see section 60-1)

    246-25(1)  
    If a director has been identified in the application for registration of an Aboriginal and Torres Strait Islander corporation as a director who is to be appointed for only one year, the director's appointment ends at the first AGM that occurs more than one year after the dateof the corporation's registration. Other directors

    246-25(2)  
    Subject to subsection (4), a director of an Aboriginal and Torres Strait Islander corporation must not be appointed for a period exceeding 2 years.

    Note:

    An application may be made to exempt the directors of the corporation from the requirements of this subsection (see section 310-5).

    Director may be reappointed (replaceable rule - see section 60-1)

    246-25(3)  
    A director is eligible for reappointment. Appointments continue to next general meeting

    246-25(4)  
    If the terms of appointment of all of the directors of an Aboriginal and Torres Strait Islander corporation expire so that there are no directors appointed at a particular time, the terms are extended until the next general meeting occurring after the expiry of the term of the director whose appointment was last to expire.

    SECTION 246-30   ALTERNATE DIRECTORS (REPLACEABLE RULE - SEE SECTION 60-1)  

    246-30(1)  
    With the other directors' approval, a director may appoint an alternate to exercise some or all of the director's powers for a specified period.

    246-30(2)  
    If the appointing director requests the Aboriginal and Torres Strait Islander corporation to give the alternate notice of directors' meetings, the corporation must do so.

    246-30(3)  
    When an alternate exercises the director's powers, the exercise of the powers is just as effective as if the powers were exercised by the director.

    246-30(4)  
    The appointing director may terminate the alternate's appointment at any time.

    246-30(5)  
    An appointment or its termination must be in writing. A copy must be given to the corporation.

    Note:

    The Registrar must be given notice of the appointment and termination of appointment of an alternate (see subsections 304-5(3) and (6)).

    SECTION 246-35   EFFECTIVENESS OF ACTS BY DIRECTORS  

    246-35(1)  
    An act done by a director is effective even if his or her appointment, or the continuance of the appointment, is invalid because the Aboriginal and Torres Strait Islander corporation or director did not comply with the corporation's constitution or any provision of this Act.

    246-35(2)  
    Subsection (1) does not deal with the question whether an effective act by a director:

    (a)  binds the corporation in its dealings with other people; or

    (b)  makes the corporation liable to another person.

    Note:

    The kinds of acts that this section validates are those that are only legally effective if the person doing them is a director (for example, calling a meeting of the corporation's members or signing a document to be lodged with the Registrar or minutes of a meeting). Division 104 contains rules about the assumptions people are entitled to make when dealing with an Aboriginal and Torres Strait Islander corporation and its officers.

    Division 249 - Resignation, retirement or removal of directors  

    SECTION 249-1   249-1   HOW DOES A PERSON CEASE TO BE A DIRECTOR?  
    A person ceases to be a director of an Aboriginal and Torres Strait Islander corporation if:

    (a)  the person dies; or

    (b)  the person resigns as a director of the corporation as provided for in section 249-5; or

    (c)  the term of the person's appointment as a director of the corporation expires; or

    (d)  the person is removed as a director of the corporation by the members of the corporation as provided for in section 249-10; or

    (e)  the person is removed as a director of the corporation by the other directors of the corporation as provided for in section 249-15; or

    (f)  the person becomes disqualified from managing corporations under Part 6-5.

    SECTION 249-5   DIRECTOR MAY RESIGN  

    249-5(1)  
    A director of an Aboriginal and Torres Strait Islander corporation may resign as a director of the corporation by giving notice of resignation to the corporation. Written notice to be given (replaceable rule - see section 60-1)

    249-5(2)  
    The notice must be in writing.

    SECTION 249-10   REMOVAL BY MEMBERS   Resolution for removal of director

    249-10(1)  
    An Aboriginal and Torres Strait Islander corporation may, by resolution in general meeting, remove a director from office despite anything in:

    (a)  the corporation's constitution; or

    (b)  an agreement between the corporation and the director; or

    (c)  an agreement between any or all members of the corporation and the director.

    Note:

    See sections 201-1 and 201-5 for the rules on who may call meetings, sections 201-20 to 201-30 on how to call meetings and sections 201-40 to 201-50 for rules on members' resolutions.

    Notice of intention to move resolution for removal of director

    249-10(2)  
    Notice of intention to move the resolution must be given to the corporation at least 21 days before the meeting is to be held. However, if the corporation calls a meeting after the notice of intention is given under this subsection, the meeting may pass the resolution even though the meeting is held less than 21 days after the notice of intention is given.

    Note:

    Short notice of the meeting cannot be given for this resolution (see subsection 201-20(3)).

    Director to be informed

    249-10(3)  
    The corporation must give the director a copy of the notice as soon as practicable after it is received.

    Penalty: 5 penalty units.

    Director's right to put case to members

    249-10(4)  
    The director is entitled to put his or her case to members by:

    (a)  giving the corporation a written statement for circulation to members (see subsections (5) and (6)); and

    (b)  speaking to the motion at the meeting (whether or not the director is a member of the corporation). Circulation of statement

    249-10(5)  
    The written statement is to be circulated by the corporation to members by:

    (a)  sending a copy to everyone to whom notice of the meeting is sent if there is time to do so; or

    (b)  if there is not time to comply with paragraph (a) - having the statement distributed to members attending the meeting and read out at the meeting before the resolution is voted on.

    Penalty: 5 penalty units.

    249-10(6)  
    The written statement does not have to be circulated to members if it is defamatory. Time of retirement

    249-10(7)  
    If a person is appointed to replace a director removed under this section, the time at which:

    (a)  the replacement director; or

    (b)  any other director;

    is to retire is to be worked out as if the replacement director had become director on the day on which the replaced director was last appointed a director.

    249-10(8)  
    An offence against subsection (3) or (5) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 249-15   REMOVAL BY OTHER DIRECTORS  

    249-15(1)  
    The only ground on which the directors of an Aboriginal and Torres Strait Islander corporation may remove a director from office is that he or she fails without reasonable excuse to attend 3 or more consecutive directors' meetings. The directors may remove the director by resolution.

    249-15(2)  
    Subsection (1) operates despite anything in:

    (a)  the corporation's constitution; or

    (b)  an agreement between the corporation and the director; or

    (c)  an agreement between any or all members of the corporation and the director. Director to be given notice

    249-15(3)  
    Before removing the director, the directors must give the director concerned notice in writing:

    (a)  stating that the directors intend to remove the director concerned from office because he or she has failed without reasonable excuse to attend 3 or more consecutive directors' meetings; and

    (b)  stating that the director concerned has 14 days to object to the removal; and

    (c)  stating that the objection must be:


    (i) in writing; and

    (ii) given to the corporation within the period of 14 days from the day the notice is given.

    Penalty: 5 penalty units.

    249-15(4)  
    An offence against subsection (3) is an offence of strict liability offence.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    If director does not object

    249-15(5)  
    If the director does not object as provided for in paragraph (3)(c), the directors must remove the director from the office. If director does object

    249-15(6)  
    If the director does object as provided for in paragraph (3)(c):

    (a)  the directors cannot remove the director from office; and

    (b)  the corporation, by resolution in general meeting, may remove the director from office in accordance with section 249-10. Notice of resolution to be given

    249-15(7)  
    If the director concerned is removed from office, the corporation must give him or her a copy of the resolution as soon as practicable after the applicable resolution has been passed.

    Penalty: 5 penalty units.

    Time of retirement

    249-15(8)  
    If a person is appointed to replace a director removed under this section, the time at which:

    (a)  the replacement director; or

    (b)  any other director;

    is to retire is to be worked out as if the replacement director had become director on the day on which the replaced director was last appointed a director.

    249-15(9)  
    An offence against subsection (7) is a strict liability offence.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    Division 252 - Remuneration of directors  

    SECTION 252-1   REMUNERATION  

    252-1(1)  
    Unless the constitution of an Aboriginal and Torres Strait Islander corporation provides otherwise, the directors of the corporation are not to be paid remuneration.

    Note:

    If a director is an employee of the corporation, the director is not precluded from receiving remuneration as an employee.

    252-1(2)  
    If an Aboriginal and Torres Strait Islander corporation's constitution permits the payment of remuneration, the remuneration is to be determined by the corporation by resolution in general meeting. Expenses

    252-1(3)  
    The corporation may pay the directors' travelling and other expenses that the directors properly incur:

    (a)  in attending directors' meetings or any meetings of committees of directors; and

    (b)  in attending any general meetings of the corporation; and

    (c)  in connection with the corporation's business.

    SECTION 252-5   MEMBERS MAY OBTAIN INFORMATION ABOUT DIRECTORS' REMUNERATION  

    252-5(1)  
    An Aboriginal and Torres Strait Islander corporation must disclose the remuneration and expenses paid to each director of the corporation or a subsidiary (if any) by the corporation or by an entity controlled by the corporation if the corporation is directed to disclose that information by at least the required number of members under subsection (7).

    Penalty: 5 penalty units.

    252-5(2)  
    The corporation must also disclose the remuneration and expenses paid to each director of the corporation or a subsidiary (if any) by the corporation or by an entity controlled by the corporation if the Registrar directs the corporation in writing to disclose that information.

    Penalty: 5 penalty units.

    252-5(3)  
    An offence against subsection (1) or (2) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    252-5(4)  
    Under subsection (1) or (2), the corporation must disclose all remuneration and expenses paid to the director, regardless of whether it is paid to the director as a director or in another capacity.

    252-5(5)  
    The corporation must comply with the direction under subsection (1) or (2) as soon as practicable by:

    (a)  preparing a statement of the remuneration and expenses of each director of the corporation or a subsidiary for the last financial year before the direction was given; and

    (b)  having the statement audited; and

    (c)  either:


    (i) in the case of a direction under subsection (1) - sending a copy of the audited statement to each person entitled to receive notice of general meetings of the corporation; or

    (ii) in the case of a direction under subsection (2) - sending a copy of the audited statement to each person entitled to receive notice of general meetings of the corporation and to the Registrar.

    252-5(6)  
    If the Registrar directs the corporation under subsection (2) to disclose the remuneration and expenses paid to a director, the remuneration and expenses may be entered on the Register of Aboriginal and Torres Strait Islander Corporations.

    252-5(7)  
    The required number of members for an Aboriginal and Torres Strait Islander corporation is the greater of:

    (a)  5 members of the corporation; or

    (b)  10% of the members of the corporation.

    252-5(8)  
    The regulations may prescribe a different number of members for the purposes of applying paragraph (7)(a) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    252-5(9)  
    The regulations may prescribe a different percentage for the purposes of applying paragraph (7)(b) to:

    (a)  a particular Aboriginal and Torres Strait Islander corporation; or

    (b)  a particular class of Aboriginal and Torres Strait Islander corporation.

    252-5(10)  
    A direction under subsection (2) is not a legislative instrument.

    PART 6-3 - APPOINTMENT OF SECRETARIES AND CONTACT PERSONS  

    Division 257 - Appointment of secretaries and contact persons  

    SECTION 257-1   WHAT THIS PART IS ABOUT  

    This Part deals with the secretary and contact person of an Aboriginal and Torres Strait Islander corporation.

    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must have a secretary.

    An Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation must have a contact person.

    SECTION 257-5   REQUIREMENT TO HAVE A SECRETARY OR CONTACT PERSON   Secretary

    257-5(1)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a large corporation must have at least one secretary. At least one of the secretaries must ordinarily reside in Australia. Contact person

    257-5(2)  
    An Aboriginal and Torres Strait Islander corporation that is registered as a small or medium corporation must have a contact person. The contact person must ordinarily reside in Australia.

    257-5(3)  
    An Aboriginal and Torres Strait Islander corporation commits an offence if the corporation does not comply with subsection (1) or (2).

    Penalty: 5 penalty units.

    257-5(4)  
    An offence against subsection (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 257-10   WHO MAY BE A SECRETARY OR CONTACT PERSON  

    257-10(1)  
    Only an individual who is at least 18 years of age may be appointed as a secretary or contact person of an Aboriginal and Torres Strait Islander corporation.

    257-10(2)  
    A person who is disqualified from managing an Aboriginal and Torres Strait Islander corporation under Part 6-5 may only be appointed as a secretary or contact person if the appointment is made:

    (a)  with permission granted by the Registrar under subsection 279-30(7); or

    (b)  with leave granted by the Court under section 279-35.

    SECTION 257-15   CONSENT TO ACT AS SECRETARY OR CONTACT PERSON   Secretary

    257-15(1)  
    An Aboriginal and Torres Strait Islander corporation contravenes this subsection if a person does not give the corporation a signed consent to act as secretary of the corporation before being appointed.

    Penalty: 5 penalty units.

    Contact person

    257-15(2)  
    An Aboriginal and Torres Strait Islander corporation contravenes this subsection if a person does not give the corporation a signed consent to act as contact person of the corporation before being appointed.

    Penalty: 5 penalty units.

    257-15(3)  
    The corporation must keep the consent.

    Penalty: 5 penalty units.

    257-15(4)  
    An offence against subsection (1), (2) or (3) is an offence of strict liability.

    Note:

    For strict liability , see section 6.1 of the Criminal Code.

    SECTION 257-20   257-20   HOW A SECRETARY OR CONTACT PERSON IS APPOINTED  
    A secretary or contact person is to be appointed by the directors.

    Note:

    An Aboriginal and Torres Strait Islander corporation must notify the Registrar of the appointment within 28 days (see subsection 304-5(1)).

    SECTION 257-25   DIRECTOR TO BE CONTACT PERSON INCERTAIN CIRCUMSTANCES  

    257-25(1)  
    If the Registrar has not been able to contact the contact person of an Aboriginal and Torres Strait Islander corporation for a period of 28 days or longer, the Registrar may determine, by notice in writing given to the corporation:

    (a)  that the person who is not contactable ceases to be the contact person from the date specified in the determination; and

    (b)  that the new contact person of the corporation is the director specified in the determination; and

    (c)  that the new contact person's appointment takes effect from the date the person's name is entered on the Register of Aboriginal and Torres Strait Islander Corporations as contact person of the corporation.

    257-25(2)  
    A notice under subsection (1) is not a legislative instrument.

    SECTION 257-30   257-30   CONTACT PERSON MUST PASS ON COMMUNICATIONS RECEIVED  
    A person commits an offence if:

    (a)  either:


    (i) the person has been appointed with his or her consent as contact person of an Aboriginal and Torres Strait Islander corporation; or

    (ii) the person was determined to be the contact person of an Aboriginal and Torres Strait Islander corporation under section 257-25; and

    (b)  while the person is entered on the Register of Aboriginal and Torres Strait Islander Corporations as the contact person of the corporation the person receives a communication for the corporation; and

    (c)  the person fails to pass the communication on to at least one of directors of the corporation within 14 days after receiving the communication.

    Penalty: 10 penalty units.

    SECTION 257-35   257-35   SECRETARY MUST PASS ON COMMUNICATIONS RECEIVED  
    A person commits an offence if:

    (a)  the person has been appointed with his or her consent to be the secretary of an Aboriginal and Torres Strait Islander corporation; and

    (b)  while the person is entered on the Register of Aboriginal and Torres Strait Islander Corporations as the secretary of the corporation the person receives a communication for the corporation; and

    (c)  the person fails to pass the communication on to at least one of directors of the corporation within 14 days after receiving the communication.

    Penalty: 10 penalty units.

    SECTION 257-40   EFFECTIVENESS OF ACTS BY SECRETARIES  

    257-40(1)  
    An act done by a secretary is effective even if his or her appointment, or the continuance of his or her appointment, is invalid because the Aboriginal and Torres Strait Islander corporation or secretary did not comply with the corporation's constitution or any provision of this Act.

    257-40(2)  
    Subsection (1) does not deal with the question whether an effective act by a secretary:

    (a)  binds the corporation in its dealings with other people; or

    (b)  makes the corporation liable to another person.

    Note:

    The kinds of acts that this section validates are those that are only legally effective if the person doing them is a secretary (for example, signing and sending out a notice of a meeting of directors if the corporation's constitution authorises the secretary to do so or signing a document to be lodged with the Registrar). Division 104 contains rules about the assumptions people are entitled to make when dealing with an Aboriginal and Torres Strait Islander corporation and its officers.

    SECTION 257-45   257-45   TERMS AND CONDITIONS OF OFFICE FOR SECRETARIES (REPLACEABLE RULE - SEE SECTION 60-1)  
    A secretary holds office on the terms and conditions (including as to remuneration) that the directors determine.

    SECTION 257-50   257-50   TERMS AND CONDITIONS OF CONTACT PERSON'S APPOINTMENT (REPLACEABLE RULE - SEE SECTION 60-1)  
    A contact person's appointment is subject to the terms and conditions (including as to remuneration) that the directors determine.

    PART 6-4 - DUTIES AND POWERS OF DIRECTORS AND OTHER OFFICERS AND EMPLOYEES  

    Division 262 - Introduction  

    SECTION 262-1   WHAT THIS PART IS ABOUT  


    This Part sets out some of the most significant duties of directors, secretaries, other officers and employees of Aboriginal and Torres Strait Islander corporations.

    Other duties are imposed by:

  • (a) other provisions of this Act; and
  • (b) the provisions of the Corporations Act that are applied to Aboriginal and Torres Strait Islander corporations; and
  • (c) other laws (including the general law).
  • A particularly important duty that is imposed on the directors of an Aboriginal and Torres Strait Islander corporation is the obligation imposed by section 588G of the Corporations Act (as applied by section 531-1 of this Act) not to incur debts, make distributions to members or enter into uncommercial transactions when the corporation is insolvent.

    Division 274 deals with the powers of directors.

    Note:

    Section 683-1 defines both director and officer . Officer includes, as well as directors and secretaries, some other people who manage the corporation or its property (such as receivers and liquidators).

    Division 265 - General duties  

    SECTION 265-1   CARE AND DILIGENCE - CIVIL OBLIGATION ONLY   Care and diligence - directors and other officers

    265-1(1)  
    A director or other officer of an Aboriginal and Torres Strait Islander corporation must exercise his or her powers and discharge his or her duties with the degree of care and diligence that a reasonable person would exercise if that reasonable person:

    (a)  were a director or officer of an Aboriginal and Torres Strait Islander corporation in the corporation's circumstances; and

    (b)  occupied the office held by, and had the same responsibilities within the corporation as, the director or officer.

    Note 1:

    This subsection is a civil penalty provision (see section 386-1).

    Note 2:

    Section 265-20 makes special provision for actions done to comply with Native Title legislation obligations.

    Business judgment rule

    265-1(2)  
    A director or other officer of an Aboriginal and Torres Strait Islander corporation who makes a business judgment is taken to meet the requirements of subsection (1), and the director's or officer's equivalent duties at common law and in equity, in respect of the judgment if he or she:

    (a)  makes the judgment in good faith for a proper purpose; and

    (b)  does not have a material personal interest in the subject matter of the judgment; and

    (c)  informs himself or herself about the subject matter of the judgment to the extent he or she reasonably believes to be appropriate; and

    (d)  rationally believes that the judgment is in the best interests of the corporation.

    The director's or officer's belief that the judgment is in the best interests of the corporation is a rational one unless the belief is one that no reasonable person in the director's or officer's position would hold.

    Note:

    This subsection only operates in relation to duties under this section and the equivalent duties at common law or in equity (including the duty of care that arises under the common law principles governing liability for negligence). It does not operate in relation to duties under any other provision of this Act or under any other laws.

    265-1(2A)  
    To avoid doubt, a director of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate is not taken to have a material personal interest for the purpose of paragraph (2)(b) if the director does not need to give the other directors notice of the interest because section 268-5 applies.

    265-1(3)  
    Business judgment is any decision to take or not take action in respect of a matter relevant to the business operations of the corporation.

    SECTION 265-5   GOOD FAITH - CIVIL OBLIGATIONS   Good faith - directors and other officers

    265-5(1)  
    A director or other officer of an Aboriginal and Torres Strait Islander corporation must exercise his or her powers and discharge his or her duties:

    (a)  in good faith in the best interests of the corporation; and

    (b)  for a proper purpose.

    Note 1:

    This subsection is a civil penalty provision (see section 386-1).

    Note 2:

    Section 265-20 makes special provision for actions done to comply with Native Title legislation obligations.

    Note 3:

    Section 265-35 deals with the situation of directors of wholly-owned subsidiaries.

    265-5(2)  
    A person who is involved in a contravention of subsection (1) contravenes this subsection.

    Note 1:

    Section 694-55 defines involved in .

    Note 2:

    This subsection is a civil penalty provision (see section 386-1).

    SECTION 265-10   USE OF POSITION - CIVIL OBLIGATIONS   Use of position - directors, other officers and employees

    265-10(1)  
    A director, secretary, other officer or employee of an Aboriginal and Torres Strait Islander corporation must not improperly use his or her position to:

    (a)  gain an advantage for himself or herself or someone else; or

    (b)  cause detriment to the corporation.

    Note 1:

    This subsection is a civil penalty provision (see section 386-1).

    Note 2:

    Section 265-20 makes special provision for actions done to comply with Native Title legislation obligations.

    Note 3:

    The contact person for the corporation is covered by the reference to an employee of the corporation.

    265-10(2)  
    A person who is involved in a contravention of subsection (1) contravenes this subsection.

    Note 1:

    Section 694-55 defines involved in .

    Note 2:

    This subsection is a civil penalty provision (see section 386-1).

    SECTION 265-15   USE OF INFORMATION - CIVIL OBLIGATIONS   Use of information - directors, other officers and employees

    265-15(1)  
    A person who obtains information because he or she is, or has been, a director or other officer or employee of an Aboriginal and Torres Strait Islander corporation must not improperly use the information to:

    (a)  gain an advantage for himself or herself or someone else; or

    (b)  cause detriment to the corporation.

    Note 1:

    This duty continues after the person stops being an officer or employee of the corporation.

    Note 2:

    This subsection is a civil penalty provision (see section 386-1).

    Note 3:

    Section 265-20 makes special provision for actions done to comply with Native Title legislation obligations.

    Note 4:

    The contact person for the corporation is covered by the reference to an employee of the corporation.

    265-15(2)  
    A person who is involved in a contravention of subsection (1) contravenes this subsection.

    Note 1:

    Section 694-55 defines involved in .

    Note 2:

    This subsection is a civil penalty provision (see section 386-1).

    SECTION 265-20   265-20   ACTS DONE TO COMPLY WITH NATIVE TITLE LEGISLATION OBLIGATIONS  
    A person who is a director or other officer, or an employee, of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate does not contravene subsection 265-1(1), 265-5(1), 265-10(1) or 265-15(1), and does not breach the person's equivalent duties at common law and in equity, merely because of doing (or refraining from doing) a particular act if the person does (or refrains from doing) the act:

    (a)  in good faith; and

    (b)  with the belief that doing (or refraining from doing) the act is necessary to ensure that the corporation complies with a Native Title legislation obligation.

    SECTION 265-25   GOOD FAITH, USE OF POSITION AND USE OF INFORMATION - CRIMINAL OFFENCES   Good faith - directors and other officers

    265-25(1)  
    A director or other officer of an Aboriginal and Torres Strait Islander corporation commits an offence if he or she:

    (a)  is reckless; or

    (b)  is intentionally dishonest;

    and fails to exercise his or her powers and discharge his or her duties:

    (c)  in good faith in the best interests of the corporation; or

    (d)  for a proper purpose.

    Penalty: 2,000 penalty units or imprisonment for 5 years, or both.

    265-25(2)  
    A director or other officer of an Aboriginal and Torres Strait Islander corporation that is a registered native title body corporate does not contravene subsection (1) merely because of doing (or refraining from doing) a particular act if the director or other officer does (or refrains from doing) the act:

    (a)  in good faith; and

    (b)  with the belief that doing (or refraining from doing) the act is necessary to ensure that the corporation complies with a Native Title legislation obligation.

    Note :

    A defendant bears an evidential burden in relation to the matters in subsection (2) (see subsection 13.3(3) of the Criminal Code).

    Use of position - directors, other officers and employees

    265-25(3) &nb