New South Wales Consolidated Acts

CO-OPERATIVES ACT 1992 - SECT 16

16 Formation meeting

(cf Vic Act s 16)

(1) Before a proposed co-operative (other than an existing body corporate) can be registered, a formation meeting must be held in accordance with this section.

(2) At the formation meeting:

(a) a disclosure statement approved under section 17 must be presented to the meeting, and

(b) the proposed rules of the co-operative approved under section 18 in respect of the proposed co-operative, and including active membership provisions in accordance with Part 6, must be passed by two-thirds of the proposed members of the proposed co-operative attending the meeting, and

(c) the proposed members of the proposed co-operative must sign the application for membership which must be in a form approved by the Registrar, and

(d) the proposed members must elect the first directors of the proposed co-operative in accordance with the proposed rules, and

(e) the proposed members must authorise a person:

(i) to apply to the Registrar for registration of the proposed co-operative, and

(ii) to do any act or thing necessary to have the proposed co-operative registered.

(3) The formation meeting must be held by:

(a) not less than 2 suitably qualified co-operatives, in the case of an association, and

(b) not less than 2 suitably qualified associations, in the case of a federation, and

(c) not less than 5 persons suitably qualified to be members of the proposed co-operative in the case of any other co-operative, or such lesser number as the Registrar may have approved under section 14 or 15.

(4) For the purposes of subsection (3), a person is suitably qualified to be a member if:

(a) there are reasonable grounds to believe the person will be an active member of the proposed co-operative, and

(b) in the case of a natural person, the person has attained the age of 18, and

(c) the person satisfies any other requirements for membership set out in the proposed rules.

(5) Each co-operative forming a proposed association and each association forming a proposed federation may be represented at the formation meeting by one person.