Altering the rules
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Over the life of an association it is likely that rules will change, if only to keep step with changes in society. For example, changes in social attitudes (and laws), discrimination or technological advances such as email could mean that some rules need to either be amended or improved upon. Consumer Protection recommends as best practice, associations should review their rules every three to five years and amend them as needed.
The legal process for altering the rules of an association is relatively straight forward. This chapter describes the requirements for altering the rules and for ensuring that those alterations are legally effective.
- An association can only change its name, objects or the rules of association at a general meeting by means of a special resolution.
- Notice of each special resolution to be considered at the meeting must be provided to members in accordance with the existing rules.
- The special resolution(s) must be passed by a majority of 75% of members voting and be lodged with Consumer Protection within one month after being passed.
- The Commissioner for Consumer Protection must approve all changes that are made to an association’s rules that result in a change of name or objects or purposes.