In the last issue we explored why the Incorporated Society Act was established. The Law Commission concluded in their Report ..”that the existing system for establishing and registering societies is working reasonably well, but recommends some improvements.” Some of the ideas that have been suggested are; the minimum membership requirement be reduced to 10; and recommendations around how a society is dealt with if the membership falls below that number. The recommendations also include two main aspects:
Mirroring of company name rules modeled on the Companies Act 1993, in that there needs to be a process to approve the name of a society as well as criteria that must be met
Instead of a society having national structure with branches, instead incorporate as many separate entities required for a branch structure
For more information, please see NZ Lawyer.