The end of the road?

For many associations, there comes a time when the members just want to call it quits and cease the activities of the association. Sometimes, they simply walk away, leaving the incorporated entity in place without any action to bring its life to an end. A much better option is to take formal steps to wind up the association. Winding up is the process by which the incorporation of an association as a separate legal entity is ended. The process involves finalising any contracts, paying debts and distributing property.

However, winding up may not be the most suitable course for the association at this time. In some circumstances, it may be more appropriate for the members to consider a different form of incorporation; for example, as a company or, for Indigenous groups, an Aboriginal or Torres Strait Islander corporation.

This Section sets out the procedure for winding up an incorporated association. It also discusses the alternative forms of incorporation and how associations could arrange to transfer their jurisdiction.