THE CORPORATIONS LAW

CHAPTER 2G - MEETINGS

PART 2G.2 - MEETINGS OF MEMBERS OF COMPANIES

Division 4 - Members' rights to put resolutions etc at general meetings

SECTION 249P   MEMBERS' STATEMENTS TO BE DISTRIBUTED  

249P(1)  [Members' statement]  

Members may request a company 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.

249P(2)  [Who must make request]  

The request must be made by:

(a)  members with at least 5% of the votes that may be cast on the resolution; or

(b)  at least 100 members who are entitled to vote at the meeting.

249P(2A)  [Prescription of members by regulation]  

The regulations may prescribe a different number of members for the purposes of the application of paragraph (2)(b) to:

(a)  a particular company; or

(b)  a particular class of company.

Without limiting this, the regulations may specify the number as a percentage of the total number of members of the company.

249P(3)  [Requirements for request]  

The request must be:

(a)  in writing; and

(b)  signed by the members making the request; and

(c)  given to the company.

249P(4)  [More than one copy]  

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.

249P(5)  [Percentage of votes]  

The percentage of votes that members have is to be worked out as at the midnight before the request is given to the company.

249P(6)  [Distribution of statement]  

After receiving the request, the company 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 a general meeting.

249P(7)  [Cost of distribution]  

The company is responsible for the cost of making the distribution if the company receives the statement in time to send it out to members with the notice of meeting.

249P(8)  [Members' liability]  

The members making the request are jointly and individually liable for the expenses reasonably incurred by the company in making the distribution if the company does not receive the statement in time to send it out with the notice of meeting. At a general meeting, the company may resolve to meet the expenses itself.

249P(9)  [Company need not comply in certain circumstances]  

The company need not comply with the request:

(a)  if the statement is more than 1,000 words long or defamatory; or

(b)  if the members making the request are responsible for the expenses of the distribution - unless the members give the company a sum reasonably sufficient to meet the expenses that it will reasonably incur in making the distribution.