Altering the objects of the association
An association can alter its objects or purposes provided the legal requirements are complied with for passing the changes. These requirements are the same as those discussed above for changing the rules. An association’s objects form part of its rules, so a change of objects is effectively a change of rules.
A special resolution must be passed by at least 75% of members voting at a general meeting of the association held in accordance with the rules.
Remember, this does not mean 75% of all members of the association only of those present and eligible to vote.
If the special resolution is passed, the changes must be lodged with the Commissioner of Consumer Protection within one month of the special resolution in order for the resolution to have legal effect.
The Commissioner is also required by the Act to approve the change to the objects or purpose. The Commissioner may instruct the association to publish a notice of the proposed change of the objects or purposes of the incorporated association before approving the change.
Should the Commissioner refuse to approve an alteration of the objects and purposes of an incorporated association. The incorporated association may within 28 days of receiving notice of the refusal:
- apply to the State Administrative Tribunal (SAT) requesting a review of the decision of the Commissioner; and
- make submissions in writing to SAT to support the application.
The SAT decision may be appealed in certain circumstances, usually on a point of law. Further information is available on the SAT’s website.