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Incorporated Societies Act 2022

Removal from register, amalgamation, liquidation, and other processes - Other matters relating to removal or liquidation of society

224: Distribution after lapse of time

You could also call this:

"What happens to a society's leftover assets after a long time?"

Illustration for Incorporated Societies Act 2022

You need to know what happens to a society's assets after a long time. If more assets are found after some have already been disposed of under section 216, the Registrar looks at how long it has been since the society was liquidated. The Registrar decides if it is necessary to dispose of these new assets. The Registrar gives a direction to dispose of the assets to one or more not-for-profit entities. When giving this direction, the Registrar thinks about what the society's constitution says under section 26(1)(l). This helps the Registrar make a decision about what to do with the assets.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS101111.

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"What happens to surplus assets if a removed society is restored to the register"

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Part 5Removal from register, amalgamation, liquidation, and other processes
Other matters relating to removal or liquidation of society

224Distribution after lapse of time

  1. This section applies if,—

  2. after assets of a society have been disposed of under section 216, further assets of the society come to the attention of the Registrar; and
    1. the Registrar considers, after taking into account the length of time since the society was liquidated or removed from the register, that it is necessary or desirable to dispose of the further assets under this section.

      1. The assets must be disposed of to 1 or more not-for-profit entities in accordance with a direction given by the Registrar.

      2. For the purposes of subsection (2), the Registrar must have regard to the matters provided for in the society’s constitution under section 26(1)(l).