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Charitable Trusts Act 1957

Incorporation of trust boards

24: Voluntary liquidation of society as a board

You could also call this:

“How to close down a society that's set up as a board”

You can end a society that is set up as a board by deciding to close it down. This is called voluntary liquidation. Here’s how it works:

You need to have two meetings. In the first meeting, you and the other members vote to close the society and choose someone to handle the closing. This person is called a liquidator.

Then, you must have a second meeting to make sure everyone still agrees. This second meeting can’t happen right away. You have to wait at least 28 days after the first meeting, but you can’t wait more than 42 days.

When you close the society, you have to follow some rules. These rules are similar to the ones companies follow when they close down. The rules are found in Parts 16 and 17 of the Companies Act 1993. You might need to change these rules a bit to fit your society, but the basic idea is the same.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM309942.

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23: New trusts, and alterations of rules, trusts, or registered office, or

"How to tell the Registrar about changes to your trust or rules"

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25: Liquidation of a board by court, or

"A court can decide to close down a board if it's fair"

Part 2 Incorporation of trust boards

24Voluntary liquidation of society as a board

  1. In any case where a society is incorporated as a board, the board may be put into liquidation if at a general meeting of its members it passes a resolution appointing a liquidator, and the resolution is confirmed at a subsequent general meeting called for that purpose and held not sooner than the 28th day and not later than the 42nd day after the date on which the resolution to be confirmed was passed.

  2. Subject to this Act and to any regulations made under this Act, Parts 16 and 17 of the Companies Act 1993, with such modifications as may be necessary, shall apply to the liquidation as if the resolution had been passed under section 241(2)(a) of that Act.

Notes
  • Section 24: replaced, on , by section 2 of the Charitable Trusts Amendment Act 1993 (1993 No 112).