Disputes

dispute is usually because there are generally at least two differing opinions from different parties about the conduct of a corporation, including the interpretation or compliance with the CATSI Act or corporation’s rule book, and that has led to disagreements. ORIC defines a dispute as:

A report of potential non-compliance of the CATSI Act or a corporation’s rule book where the complainant has enacted the corporation’s dispute resolution clause, and the issue(s) remains unresolved.

This is opposed to a conflict that might be a longstanding disagreement where resolution is more difficult. Conflicts may be personality/relationship focussed or behaviour based. Examples of conflicts include where a person may have had their membership application repeatedly rejected, or where there are disagreements between families. Generally ORIC cannot provide assistance in relation to conflicts.

How members and directors can manage a dispute with the corporation

The dispute resolution process set out in a corporation’s rule book is to help resolve disputes in relation to the corporation. It is not designed to help resolve personal conflicts.

If you have already enacted the dispute resolution process with the corporation and you remain dissatisfied, you can contact ORIC. We will ask you to provide your correspondence with the corporation and its response.

We will make an assessment of the information and consider whether we should take any action. Our assessment will include whether:

  • you have enacted in good faith in raising the dispute
  • the dispute resolution process was followed appropriately
  • the corporation responded in good faith
  • the corporation could respond to the matter in dispute or if it is a matter for a Court or another government agency
  • there is an outcome that is consistent with the CATSI Act and / or the corporation’s rule book.

ORIC will consider action where the corporation has not responded, has not responded in good faith and / or the outcome is inconsistent with the CATSI Act and / or corporation’s rule book. ORIC can consider action such as directing the corporation to act, issuing the corporation with a compliance notice, calling a Registrar initiated meeting or making a Registrar initiated change to the corporation’s rule book.

ORIC will advise you accordingly if:

  • the matter will not be progressed further because you have not acted in good faith
  • you haven’t followed the dispute resolution process correctly
  • the outcome of the dispute (i.e. the advice provided, or action taken, by the corporation) is consistent with the CATSI Act and / or corporation’s rule book
  • the matter needs to be resolved by a Court or another government agency.

How common law holders can manage disputes with RNTBCs

If you are a common law holder (or you believe you are a common law holder), you are not a member of the RNTBC and you are in dispute as to whether you are a common law holder or how the RNTBC is meeting its native title obligations, you can enact the dispute resolution process in the corporation’s rule book specifically designed for this purpose.

If you remain dissatisfied after enacting the dispute resolution process, you can contact us and we will assess whether we can and are willing to take any action. If we are unable to take action in relation to your dispute, we may refer you to another government agency or entity who may be able to help you.

How third parties can manage disputes with corporations

Unless expressly provided for in a corporation’s rule book, third parties are not able to enact the dispute resolution clause. ORIC is limited in what if any action it can take in relation to a third party dispute with a CATSI Act corporation.

If the matter subject to dispute is not one that another government entity can assist with, the third party is likely to require independent legal advice and /or the help of mediators. You can contact us if you are unclear on who may be able to assist with your dispute and we may be able to provide advice about who you should talk to.

How corporations can manage disputes

Under the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act), all corporations are required to have a dispute resolution process in their rule books. This is to provide the means for corporations to resolve internal disputes without intervention from a third party unless necessary – an important aspect of capable and self-regulating Aboriginal and Torres Strait Islander corporations.

Registered Native Title Bodies Corporate (RNTBC) are also required to have a rule in their rule books for resolving a dispute between the corporation and a common law holder (or a person who claims to be a common law holder) in relation to whether the person is a common law holder, or the RNTBC’s performance of its native title functions.

The CATSI Act doesn't prescribe what the dispute resolution processes should be, corporations need to decide what works best for them. ORIC has provided example dispute resolution processes in the model rule books that corporations can adopt or change to suit their circumstances.

ORIC encourages corporations to try and resolve disputes themselves. When engaging in a dispute resolution process, corporations should ensure they:

  • engage respectfully and in good faith
  • follow the dispute resolution process in the corporation’s rule book
  • communicate in writing
  • provide an explanation about whether it is taking action to resolve the matter in dispute
  • provide an outcome consistent with the requirements of the CATSI Act and the corporation’s rule book.

If corporations are unclear about their obligations, including about what would be an outcome to a particular dispute that would be consistent with the CATSI Act and / or corporation’s rule book, they can contact ORIC.

ORIC will consider regulatory action where the corporation:

  • does not respond to a member or director enacting the corporation’s dispute resolution process
  • has not responded to the person enacting the dispute resolution process in good faith
  • delivers an outcome that is inconsistent with the CATSI Act and / or corporation’s rule book.

ORIC can consider action such as directing the corporation to act, issuing the corporation with a compliance notice, calling a Registrar initiated meeting or making a Registrar initiated change to the corporation’s rule book.

If ORIC identifies the corporation’s dispute resolution process is ineffective, ORIC will consider changing it with a Registrar initiated change to the rule book.

Phone 1800 622 431

Email info@oric.gov.au

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