Exemptions – officers
Corporations can ask for exemptions from requirements about:
Maximum number of directors
A corporation must have no more than 12 directors.
The Registrar can exempt a corporation from this requirement.
When exempt, the corporation’s rule book must state the maximum number of directors the corporation can have according to the exemption.
Maximum term of appointment for a director
A director must not be appointed for more than 2 years.
The Registrar can exempt a corporation from the maximum term of 2 years.
Corporations should keep in mind that exemptions can be provided for time limited periods and can be varied or revoked.
When exempt, a corporation’s directors can serve for more than 2 years without needing to be reappointed by members; the corporation’s rule book must state the length of director terms according to the exemption.
Requirement for member approval to give a related party benefit
The CATSI Act says that members must approve giving a financial benefit to someone related to the corporation unless it is for a circumstance that doesn't require member approval.
The Registrar can exempt a corporation from these requirements.
