Co-operatives Act 1997 (SA)

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South Australia

Co-operatives Act 1997

An Act to provide for the formation, registration and management of co-operatives; and for other purposes.

Contents

Part 1—Preliminary

Division 1—Introductory

1            Short title

3            Objects of this Act

Division 2—Interpretation

4            Definitions

5            Qualified privilege

Division 3—The co-operative principles

6            Co-operative principles

7           Interpretation to promote co-operative principles

Division 4—Application of Corporations Act to co-operatives

8            Definitions

9            Exclusion of operation of Corporations Act

10          Application of excluded Corporations legislation provisions by the regulations

11          Modifications to applied provisions

Part 2—Formation

Division 1—Types of co-operatives

13          Types of co-operatives

14          Trading co-operatives

15          Non-trading co-operatives

Division 2—Formation meeting

16          Formation meeting

Division 3—Approval of disclosure statement and rules

17          Approval of disclosure statement

18          Approval of rules

Division 4—Registration of proposed co-operative

19          Application for registration of proposed co-operative

20          Registration of co-operative

21          Incorporation and certificate of registration

Division 5—Registration of an existing body corporate

22          Existing body corporate can be registered

23          Formation meeting

24          Application for registration

25          Requirements for registration

26          Certificate of registration

27          Effect of registration

Division 6—Conversion of co-operative

28          Conversion of co-operative

Division 7—Appeals

29          Appeal against refusal to approve disclosure statement

30          Appeal against refusal to approve draft rules

31          Appeal against refusal to register

32          Commission to comply with Court determination

Division 8—General

33          Stamp duty exemption for certain co-operatives

34          Acceptance of money by proposed co-operative

35          Issue of duplicate certificate

Part 3—Legal capacity and powers

Division 1—General powers

36          Effect of incorporation

37          Power to form companies and enter into joint ventures

Division 2—Doctrine of ultra vires abolished

38          Interpretation

39          Doctrine of ultra vires abolished

40          Legal capacity

41          Restrictions on co-operatives in rules

42          Results of contravention of restriction in rules

Division 3—Persons having dealings with co-operatives

43          Assumptions entitled to be made

44          Assumptions

45          Person who knows or ought to know is not entitled to make assumptions

46          Lodgment of documents not to constitute constructive knowledge

47          Effect of fraud

Division 4—Authentication and execution of documents and confirmation of contracts

48          Common seal

49          Official seal

50          Authentication need not be under seal

51          Co-operative may authorise person to execute deed

52          Execution under seal

53          Contractual formalities

54          Other requirements as to consent or sanction not affected

55          Transitional

Division 5—Pre-registration contracts

56          Contracts before registration

57          Persons may be released from liability but is not entitled to indemnity

58          This Division replaces other rights and liabilities

Part 4—Membership

Division 1—General

59          Becoming a member

60          Members of associations

61          Members of federations

62          Qualifications for membership

63          Membership may be joint

64          Members under 18 years of age

65          Representatives of bodies corporate

66          Notification of shareholders and shareholdings

67          Circumstances in which membership ceases—all co-operatives

68          Additional circumstances in which membership ceases—co-operatives with share capital

69          Carrying on business with too few members

Division 2—Rights and liabilities of members

70          Rights of membership not exercisable until registered etc

71          Liability of members to co-operative

72          Co-operative to provide information to person intending to become a member

73          Entry fees and regular subscriptions

74          Members etc may be required to deal with co-operative

75          Fines payable by members

76          Charge and set-off of co-operative

77          Repayment of shares on expulsion

Division 3—Death of member

78          Meaning of interest

79          Transfer of share or interest on death of member

80          Transfer of small shareholdings and interests on death

81          Value of shares and interests

82          Co-operative protected

Division 4—Disputes involving members

83          Grievance procedure

84          Application to Supreme Court

Division 5—Oppressive conduct of affairs

85          Interpretation

86          Application of Division

87          Who may apply for court order?

88          Orders that the Supreme Court may make

89          Basis on which Supreme Court makes orders

90          Winding up need not be ordered if oppressed members prejudiced

91          Application of winding up provisions

92          Changes to rules

93          Copy of order to be lodged with Commission

Division 6—Proceedings on behalf of a co-operative by members and others

94          Bringing, or intervening in, proceedings on behalf of a co-operative

95          Applying for and granting permission

96          Substitution of another person for the person granted permission

97          Effect of ratification by members

98          Permission to continue, compromise or settle proceedings brought, or intervened in, with permission

99          General powers of Supreme Court

100         Power of Supreme Court to make costs order

Part 5—Rules

101         Effect of rules

102         Content of rules

103         Purchase and inspection of copy of rules

104         False copies of rules

105         Model rules

106         Rules can only be altered in accordance with this Act

107         Approval of alteration of rules

108         Alteration by special resolution

109         Alteration by resolution of board

110         Alteration does not take effect until registered

111         Appeal against refusal to approve alteration

112         Appeal against refusal to register alteration

113         Commission to comply with Court determination

Part 6—Active membership

Division 1—Definitions

114         Primary activity—meaning

115         What is active membership?

116         What are active membership provisions and resolutions?

Division 2—Rules to contain active membership provisions

117         Number of primary activities required

118         Rules to contain active membership provisions

119         Factors and considerations for determining primary activities

120         Active membership provisions—trading co-operatives

121         Regular subscription—active membership of non-trading co-operative

Division 3—Active membership resolutions

122         Notice of meeting

123         Eligibility to vote on active membership resolution

124         Eligibility of directors to vote on proposal at board meeting

125         Other entitlements of members not affected

Division 4—Cancellation of membership of inactive members

126         Cancellation of membership of inactive member

127         Share to be forfeited if membership cancelled

128         Failure to cancel membership—offence by director

129         Deferral of forfeiture by board

130         Cancellation of membership prohibited in certain circumstances

131         Notice of intention to cancel membership

132         Order of Supreme Court against cancellation

133         Repayment of amounts due in respect of cancelled membership

134         Interest on deposits and debentures

135         Repayment of deposits and debentures

136         Register of cancelled memberships

Division 5—Entitlements of former members of trading co-operatives

137         Application of Division

138         Former shareholders to be regarded as shareholders for certain purposes

139         Entitlements of former shareholders on mergers etc

140         Set-off of amounts repaid etc on forfeited shares

141         Entitlement to distribution from reserves

142         Commission may exempt co-operatives from provisions

Part 7—Shares

Division 1—Nature of shares

143         Nature of shares in co-operative

Division 2—Disclosure

144         Disclosure to intending shareholders in trading co-operative

144A       Content of disclosure statement to intending shareholders

144B        Exemptions for disclosure statements

Division 3—Issue of shares

145         Shares—general

145AApplication of Corporations Act to shares

146         Minimum paid-up amount

147         Shares not to be issued at a discount

148         Issue of shares at a premium

149         Joint ownership of shares

150         Members may be required to take up additional shares

151         Bonus share issues

152         Restrictions on bonus shares

153         Notice in respect of bonus shares

Division 4—Beneficial and non-beneficial interests in shares

154         Notice of non-beneficial ownership at time of transfer

155         Notice of non-beneficial ownership not notified at time of transfer

156         Registration as beneficial owner of shares notified as non-beneficially transferred

157         Notification of change in nature of shareholding

158         Presumption of awareness

159         Presumption that shares held non-beneficially

160         Noting of beneficial and non-beneficial interests in registers of members

161         Registration as trustee etc on death of owner of shares

162         Registration as administrator of estate on incapacity of shareholder

163         Registration as Official Trustee in Bankruptcy

164         Liabilities of persons registered as trustee or administrator

165         Notice of trusts in register of members

166         No notice of trust as provided by this Division

Division 5—Sale or transfer of shares

167         Sale or transfer of shares

168         Transfer on death of member

169         Restriction on total shareholding

170         Transfer not effective until registered

Division 6—Re-purchase of shares

171         Purchase and repayment of shares

172         Deposit or debentures in lieu of payment when share repurchased

173         Cancellation of shares

Part 8—Voting and meetings

Division 1—Voting entitlements

174         Application of Part

175         Voting

176         Voting by proxy

177         Restriction on voting entitlement under power of attorney

178         Restriction on voting by representatives of bodies corporate

179         Inactive members not entitled to vote

180         Control of the right to vote

180A       Effect of disposal of shares on voting rights

181         Effect of relevant share and voting interests on voting rights

182         Rights of representatives to vote

183         Other rights and duties of members not affected by ineligibility to vote

184         Vote of disentitled member to be disregarded

Division 2—Resolutions

185         Decisions to be by ordinary resolution

186         Ordinary resolutions

187         Special resolutions

188         How majority obtained is ascertained

189         Disallowance by Commission

190         Declaration of passing of special resolution

191         Effect of special resolution

192         Lodgment of special resolution

193         Decision of Commission on application to register special resolution

Division 2A—Resolution by circulated document

193A       Application of Division

193B        Resolution by circulation of document—fewer than 50 members

Division 3—Postal ballots

194         Postal ballots

195         Special postal ballots

196         When is a special postal ballot required?

197         Holding of postal ballot on requisition

198         Expenses involved in postal ballots on requisition

Division 4—Meetings

199         Annual general meetings

200         Special general meetings

201         Notice of meetings

202         Quorum of meetings

203         Decision at meetings

204         Convening of general meeting on requisition

205         Minutes

Part 9—Management and administration of co-operatives

Division 1—The board

206         Board of directors

207         Election of directors

208         Qualification of directors

209         Disqualified persons

210         Meeting of the board of directors

211         Transaction of business outside meetings

212         Deputy directors

213         Delegation by board

214         Removal from and vacation of office

Division 1A—Secretary

214A       Secretary

Division 2—Duties and liabilities of directors, officers and employees

215         Meaning of officer

216         Officers must act honestly

217         Standard of care and diligence required

218         Improper use of information or position

219         Court may order payment of compensation

220         Recovery of damages by co-operative

221         Other duties and liabilities not affected

222         Indemnification of officers and auditors

223Application of Corporations Act concerning officers of co-operatives

Division 2A—Employee entitlements

223A       Employee entitlements

Division 3—Restrictions on directors and officers

224         Directors' remuneration

225         Certain financial accommodation to officers prohibited

226         Financial accommodation to directors and associates

227         Restriction on directors of certain co-operatives selling land to co-operative

228         Management contracts

Division 4—Declaration of interests

229         Declaration of interest

230         Declarations to be recorded in minutes

231         Division does not affect other laws or rules

232         Certain interests need not be declared

Division 5—Financial records, reports and audit

233         Requirements for financial records, statements and reports

234         Power of Commission to grant exemptions

236         Disclosure by directors

237         Protection of auditors etc

238         Financial year

Division 6—Registers, records and returns

239         Registers to be kept by co-operatives

240         Location of registers

241         Inspection of registers etc

242         Use of information on registers

243         Notice of appointment etc of directors

244         Annual report

245         List of members to be furnished at request of Commission

246         Special return to be furnished at request of Commission

Division 7—Name and registered office

247         Name to include certain matter

248         Use of abbreviations

249         Name to appear on business documents etc

250         Change of name of co-operative

250A       Restriction on use of word "co-operative" or similar words

251         Registered office of co-operative

Part 10—Funds and property

Division 1—Power to raise money

252         Meaning of obtaining financial accommodation

253         Funds to be raised in accordance with Act and regulations

254         Limits on deposit taking

255         Members etc not required to see to application of money

256         Commission's directions re fundraising

257         Subordinated debt

258Application of Corporations Act to issues of debentures

258AApplication of certain other Corporations Act provisions

259         Disclosure statement

260         Approval of board for transfer of debentures

261         Application of Corporations Act—debentures (additional issues)

262         Compulsory loan by member to co-operative

263         Interest payable on compulsory loan

Division 2—Charges

264         Registration of charges

Division 3—Receivers and other controllers of property of co-operatives

265         Receivers and other controllers of property of co-operatives

Division 4—Disposal of surplus from activities

266         Retention of surplus for benefit of co-operative

267         Application for charitable purposes or members' purposes

268         Distribution of surplus or reserves to members

269         Application of surplus to other persons

Division 5—Acquisition and disposal of assets

270         Acquisition and disposal of assets

Part 11—Restrictions on the acquisition of interests in co-operatives

Division 1—Restrictions on share and voting interests

271         Application of Part

272         Notice required to be given of voting interest

273         Notice required to be given of substantial share interest

274         Requirements for notices

275         Maximum permissible level of share interest

276         Shares to be forfeited to remedy contravention

277         Powers of board in response to suspected contravention

278         Powers of Supreme Court with respect to contravention

279         Co-operative to inform Commission of interest over 20 per cent

280         Co-operative to keep register

281         Unlisted companies to provide list of shareholders

282         Excess share interest not to affect loan liability

283         Extent of operation of Division

284         Commission may grant exemption from Division

Division 2—Restrictions on certain share offers

285         Share offers to which this Division applies

286         Requirements to be satisfied before offer can be made

287         Some offers totally prohibited if they discriminate

288         Offers to be submitted to board first

289         Announcement of proposed takeovers concerning proposed company

290         Additional disclosure requirements for offers involving conversion to company

291         Consequences of prohibited offer

292         Commission may grant exemptions

Part 12—Merger, transfer of engagements, winding up

Division 1—Mergers and transfers of engagements

293         Application of Division

294         Mergers and transfers of engagements of local co-operatives

295         Requirements before application can be made

296         Disclosure statement required

297         Making an application

298         Approval of merger

299         Approval of transfer of engagements

300         Transfer of engagements by direction of Commission

Division 2—Transfer of incorporation

301         Application for transfer

302         Requirements before application can be made

303         Meaning of new body and transfer

304         New body ceases to be registered as co-operative

305         Transfer not to impose greater liability etc

306         Effect of new certificate of registration

306A       New body must give copy of certificate to Commission

307         New body is a continuation of the co-operative

308         Stamp duty

Division 3—Winding up

309         Methods of winding up

310         Winding up on Commission's certificate

310A       Method of deregistration

311Application of Corporations Act to winding up

312         Restrictions on voluntary winding up

313         Commencement of members' voluntary winding up

314         Distribution of surplus—non-trading co-operatives

315         Liquidator vacancy may be filled by Commission

316         Review of liquidator's remuneration

317         Liability of member to contribute in a winding up where shares are forfeited etc

Division 4—Administration of co-operative—application of Corporations Act

318         Application of Part 5.3A of Corporations Act

Division 5—Appointment of administrator

319         Appointment of administrator

320         Effect of appointment of administrator

321         Revocation of appointment

322         Expenses of administration

323         Liabilities arising from administration

324         Additional powers of Commission

325         Stay of proceedings

326         Administrator to report to Commission

Division 6—Effect of merger etc on property, liabilities etc

327         How this Division applies to a merger

328         How this Division applies to a transfer of engagements

329         How this Division applies to a transfer of incorporation

330         Effect of merger etc on property, liabilities etc

Division 7—Miscellaneous

331         Grounds for winding up, transfer of engagements, appointment of administrator

333Application of Corporations Act with respect to insolvent co-operatives

Part 13—Arrangements and reconstructions

Division 1—General requirements

334         Requirements for binding compromise or arrangement

335         Supreme Court ordered meeting of creditors

336         Commission to be given notice and opportunity to make submissions

337         Results of 2 or more meetings

338         Persons disqualified from administering compromise

339Application of Corporations Act to person appointed

340         Copy of order to be attached to rules

341         Directors to arrange for reports

342         Power of Supreme Court to restrain further proceedings

343         Supreme Court need not approve compromise or arrangement takeovers

Division 2—Explanatory statements

344         Explanatory statement required to accompany notice of meeting etc

345         Requirements for explanatory statement

346         Contravention of Division—offence by co-operative

347         Provisions for facilitating reconstructions and mergers

Division 3—Acquisition of shares of dissenting shareholders

348         Definitions

349         Schemes and contracts to which Division applies

350         Acquisition of shares pursuant to notice to dissenting shareholder

351         Restrictions when excluded shares exceed 10 per cent

352         Remaining shareholders may require acquisition

353         Transfer of shares pursuant to compulsory acquisition

354         Disposal of consideration for shares compulsorily acquired

Division 4—Miscellaneous

355         Notification of appointment of scheme manager

356         Power of Supreme Court to require reports

357         Effect of out-of-jurisdiction compromise or arrangement

358Jurisdiction to be exercised in harmony with Corporations Act jurisdiction

359         Commission may appear etc

Part 14—Foreign co-operatives

Division 1—Introductory

360         Definitions

361         Co-operatives law

Division 2—Registration of foreign co-operatives

362         Operation of foreign co-operative in South Australia

363         What constitutes carrying on business

364         Application for registration of participating co-operative

365         Application for registration of non-participating co-operative

366         Commission to approve rules of non-participating co-operative

367         Name of foreign co-operative

368         Registration of foreign co-operative

369         Application of Act and regulations to foreign co-operatives

370         Commission to be notified of certain changes

371         Balance sheets

372         Cessation of business

373         Co-operative proposing to register as a foreign co-operative

Division 3—Mergers and transfers of engagements

374         Who is the appropriate Registrar?

375         Authority for merger or transfer of engagements

376         Requirements before application can be made

377         Disclosure statement required

378         Making an application

379         Approval of merger

380         Approval of transfer of engagements

381         Effect of merger or transfer of engagements

382         Division applies instead of certain other provisions of this Act

Part 15—Supervision and protection of co-operatives

Division 1—Supervision and inspection

383         Definitions

384         Co-operative includes subsidiaries, foreign co-operatives and co-operative ventures

385         Appointment of inspectors

386         Commission and investigators have functions of inspectors

387         Inspector's identity card

388         Inspectors may require certain persons to appear, answer questions and produce documents

389         Inspectors' powers of entry

390         Powers of inspectors on premises entered

391         Functions of inspectors in relation to relevant documents

392         Offence—failing to comply with requirements of inspector

393         Protection from incrimination

394         Search warrants

395         Copies or extracts of records to be admitted in evidence

396         Privilege

397         Police aid for inspectors

Division 2—Inquiries

398         Definitions

399         Appointment of investigators

400         Powers of investigators

401         Examination of involved person

402         Privilege

403         Offences by involved person

404         Offences relating to documents

405         Record of examination

406         Report of investigator

407         Proceedings following inquiry

408         Admission of investigator's report as evidence

409         Costs of inquiry

Division 3—Prevention of fraud etc

410         Falsification of records

411         Fraud or misappropriation

412         Offering or paying commission

413         Accepting commission

414         False statements in loan application etc

Division 4—Miscellaneous powers of the Commission

415         Application for special meeting or inquiry

416         Holding of special meeting

417         Expenses of special meeting or inquiry

418         Power to hold special inquiry into co-operative

419         Special meeting following inquiry

420         Information and evidence

421         Extension or abridgment of time

422         Power of Commission to intervene in proceedings

Part 16—Administration of this Act

Division 1—The Commission

423         Interpretation

424         Commission responsible for administration of this Act

425         Keeping of registers

426         Disposal of records by Commission

427         Inspection of register

428         Approvals by Commission

429         Lodgment of documents

430         Method of lodgment

431         Power of Commission to refuse to register or reject documents

Division 2—Evidence

432         Certificate of registration

433         Certificate evidence

434         Orders published in the Gazette

435         Records kept by co-operatives

436         Minutes

437         Official certificates

438         The Commission and proceedings

439         Rules

440         Registers

Part 17—Offences and proceedings

441         Offences by officers of co-operatives

442         Notice to be given of conviction for offence

443         Secrecy

444         False or misleading statements

445         Further offence for continuing failure to do required act

446         Civil remedies

447         Injunctions

Part 18—General

448         Exemption from stamp duty

449         Co-operatives ceasing to exist

450         Service of documents on co-operatives

451         Service on member of co-operative

452         Reciprocal arrangements

453         Translation of documents

454         Regulations

Schedule 1—Matters for which rules must make provision

1            Requirements for all co-operatives

2            Additional matters—co-operatives with share capital

3            Additional matters—non-trading co-operatives

Schedule 2—Relevant interests, associates, related bodies

Part 1—Relevant interests

1            Terminology used in this Schedule

2            Basic rules—relevant interests

3            Control of body corporate having power in relation to a share

4            Control of 20 per cent of voting power in body corporate having power in relation to a share

5            Deemed relevant interest in advance of performance of agreement that will give rise to a relevant interest

6            Control of body corporate having a relevant interest by virtue of clause 5

7           Matters not affecting application of Schedule

8            Body corporate may have a relevant interest in its own shares

9            Exclusions—money-lenders

10          Exclusions—certain trustees

11          Exclusions—instructions to securities dealer to dispose of share

12          Exclusions—honorary proxies

13          Exclusions—holders of prescribed offices

14          Prescribed exclusions

15          Effect of Schedule

16          Relevant interest—body corporate other than co-operative

Part 2—Associates

17          Effect of Part

18          Associates of a body corporate

19          Matters relating to voting rights

20          General

21          Exclusions

Part 3—Related bodies

22          Related bodies corporate

Schedule 3—Registration etc of charges

Part 1—Preliminary

1            Interpretation

2            Application to charges referred to in clause 17

3            Lodgment of documents

Part 2—Registration

Division 1—Charges

4            To which charges does Schedule apply?

5            Excluded charges

6            Personal chattels

7           Book debts

8            Crops or stock

9            Deposit of documents of title

10          Charges on land or fixtures on land

11          What if other property is also charged?

12          Effect of failure to lodge or give notice or document

Division 2—Notice of charge

13          Lodgment of notice of charge and copy of instrument

14          Series of debentures

15          Operation of priority provisions in respect of issue of debentures

16          Discounts

17          Acquisition of property subject to charge

Division 3—Registration

18          Register of Co-operative Charges

19          Registration of documents relating to charge

20          Provisional registration if stamp duty not paid

21          Provisional registration if required particulars not supplied

22          Effect of provisional registration

23          What if 2 or more charges relate to the same property?

24          Registration of assignment or variation of charge

25          Standard time for the purposes of this Division

Division 4—Certain charges void against liquidator or administrator

26          Definitions

27          Certain charges void against liquidator or administrator

28          Certain varied charges void against liquidator or administrator

29          Supreme Court may extend required period

30          Certain later charges void

31          Effect of provisions on purchaser in good faith

Division 5—Certain charges in favour of persons void

32          Definitions

33          Charges in favour of certain persons void in certain cases

34          Supreme Court may give leave for enforcement of charge

35          Certain transactions excluded

Division 6—Assignment, variation or satisfaction of charges

36          Assignment and variation of charges

37          Satisfaction of, and release of property from, charges

Division 7—General

38          Lodgment of notices

39          Lodgment offences

40          Co-operative to keep documents relating to charges

41          Co-operative to keep register

42          Certificates

43          Power of Supreme Court to rectify Register

44          Power to exempt from compliance with certain requirements of Part

Part 3—Order of priority

Division 1—General

45          Definitions

46          Priorities of charges

Division 2—Priority rules

47          General priority rules in relation to registered charges

48          General priority rule in relation to unregistered charges

49          Special priority rules

Part 4—Provisions relating to PPS Act

50          Certain provisions of Schedule to cease to have effect

51          Provision of information to Commonwealth

52          Immunity

53          Commission may refuse to exercise functions

54          Regulations

Part 5—Repeal of Schedule and Part 10 Division 2

55          Repeal of Schedule and Part 10 Division 2

Schedule 4—Receivers, and other controllers, of property of co‑operatives

1            Interpretation

2            Application of Schedule

3            Persons not to act as receivers

4            Supreme Court may declare whether controller is validly acting

5            Liability of controller

6            Liability of controller under pre-existing agreement about property used by co-operative

7           Powers of receiver

8            Controller's duty of care in exercising power of sale

9            Supreme Court may authorise managing controller to dispose of property despite prior charge

10          Receiver's power to carry on co-operative's business during winding up

11          Controller's duties in relation to ADI accounts and accounting records

12          Managing controller to report within 2 months about co-operative's affairs

13          Reports by receiver

14          Supervision of controller

15          Controller may apply to Supreme Court

16          Power of Supreme Court to fix receiver's remuneration

17          Controller has qualified privilege in certain cases

18          Notification of matters relating to controller

19          Statement that receiver appointed or other controller acting

20          Officers to report to controller about co-operative's affairs

21          Controller may require reports

22          Controller may inspect books

23          Lodging controller's accounts

24          Payment of certain debts, out of property subject to floating charge, in priority to claims under charge

25          Enforcement of controller's duty to make returns

26          Supreme Court may remove controller for misconduct

27          Supreme Court may remove redundant controller

28          Effect of clauses 26 and 27

Schedule 5—Savings and transitional

1            Definitions

2Acts Interpretation Act applies

3            Regulations

4            Saving of existing co-operatives

5            Co-operatives in process of formation before commencement

6            Co-operatives in process of amalgamation before commencement

7           Rules of co-operative in process of alteration before commencement

8            Rules of transferred co-operative to conform with Act

9            Modification of certain rules of transferred co-operative

10          Rules of transferred co-operative to contain active membership provisions

11          Qualifications for membership of transferred co-operative

12          Name of transferred co-operative to comply with this Act

13          Transferred co-operative carrying on business with too few members

14          Saving of voting rights of members of transferred co-operative

15          Inactive members of transferred co-operative entitled to vote if rules do not contain active membership provisions

16          Extension of time for holding of AGM by transferred co-operative

17          Inactive members of transferred co-operative entitled to be requisitioning members if rules do not contain active membership provisions

18          Transferred co-operative to remove disqualified persons from board of directors

19          Prospectuses issued by transferred co-operative before commencement in relation to issue of debentures to non-members etc

20          Prospectuses issued by transferred co-operative before commencement in relation to issue of debentures to members

21          Prospectuses issued by transferred co-operative before commencement in relation to issue of shares to members

22          Charges registered under repealed Act

23          Application for exemption before commencement—qualifications of auditors

24          Existing accounts provisions to apply to transferred co-operatives

25          Notice to be given of relevant interest in voting rights of member of transferred co-operative

26          Notice to be given of substantial share interest in transferred co-operative

27          Maximum permissible level of share interest in transferred co-operative

28          Unlisted companies to provide list of shareholders etc to transferred co‑operatives

29          Registered office of transferred co-operative

30          Investigation into affairs of transferred co-operative

31          Winding up of transferred co-operative

32          Arrangement for transferred co-operative

33          Receivers and managers of transferred co-operative

34          Documents

35          Proceedings under the repealed Act in relation to transferred co‑operatives

36          Superseded references

Legislative history

The Parliament of South Australia enacts as follows:

Part 1—Preliminary

Division 1—Introductory

1—Short title

This Act may be cited as the Co-operatives Act 1997.

3—Objects of this Act

The objects of this Act are—

(a)to enable the formation, registration and operation of co-operatives; and

(b)to promote co-operative philosophy, principles, practices and objectives; and

(c)to protect the interests of co-operatives, their members and the public in the operation and activities of co-operatives; and

(d)to ensure that the directors of co-operatives are accountable for their actions and decisions to the members of co-operatives; and

(e)to encourage and facilitate self-management by co-operatives at all levels; and

(f)to encourage the development, integration and strengthening of co-operatives at local, regional, national and international levels by supporting and fostering State and national peak organisations and co-operative instrumentalities.

Division 2—Interpretation

4—Definitions

(1)In this Act—

agreement means an agreement, arrangement or understanding—

(a)whether formal or informal or partly formal and partly informal; and

(b)whether written or oral or partly written and partly oral; and

(c)whether or not having legal or equitable force and whether or not based on legal or equitable rights;

alter, in relation to the rules of a co-operative, includes add to, substitute and rescind;

associate has the meaning given by Schedule 2;

association means an association registered under this Act;

board means the board of directors of a co-operative and includes a committee of management of a co-operative;

Commission means the Corporate Affairs Commission;

component co-operative means a member of an association;

co-operative means a body registered under this Act as a co-operative and includes an association or federation;

Corporations Act means the Corporations Act 2001 of the Commonwealth;

debenture means a document issued by a co-operative that evidences or acknowledges indebtedness of the co-operative in respect of money that is or may be deposited with or lent to the co-operative, whether or not constituting a charge on property of the co-operative and includes a unit of a debenture but does not include—

(a)a cheque, order for the payment of money or bill of exchange; or

(b)a promissory note having a face value of not less than $50 000; or

(c)any other document of a class that is prescribed as exempt from this definition;

deed of arrangement means a deed of arrangement executed under Part 5.3A of the Corporations Act as applying under this Act or such a deed as varied and in force from time to time;

deposit taking co-operative means a co-operative that is permitted under section 254 to accept money on deposit;

deregistration means deregistration under section 311, 449(1) or clause 31 of Schedule 5;

director, in relation to a co-operative, includes—

(a)a person who occupies or acts in the position of a director or member of the board of a co-operative, whether or not the person is called a director and whether or not the person is validly appointed or duly authorised to act in the position; and

(b)a person in accordance with whose directions or instructions the directors or members of the board of directors of the co-operative are accustomed to act;

District Court means the Administrative and Disciplinary Division of the District Court;

domestic partner means a person who is a domestic partner within the meaning of the Family Relationships Act 1975, whether declared as such under that Act or not;

federation means a federation registered under this Act;

financial records includes—

(a)invoices, receipts, orders for the payment of money, bills of exchange, cheques, promissory notes and vouchers; and

(b)documents of prime entry; and

(c)working papers and other documents needed to explain—

(i)the methods by which financial statements are made up; and

(ii)adjustments to be made in preparing financial statements;

financial statements means—

(a)a profit and loss statement; and

(b)a balance sheet; and

(c)a statement of cash flows; and

(d)if required by the accounting standards under the Corporations Act applying under this Act—a consolidated profit and loss statement, balance sheet and statement of cash flows;

foreign co-operative means a body corporate that is registered, incorporated or formed under, or is subject to, a law in force outside South Australia (including outside Australia), that regulates co-operatives or organisations having attributes the same as or similar to co-operatives but does not include—

(a)a body incorporated under the Corporations Act; or

inspector means a person appointed as an inspector under Part 15;

model rules means the model rules approved by the Commission under Part 5;

mortgage includes a lien, charge or other security over property;

non-trading co-operative means a non-trading co-operative within the meaning of section 15;

officer, in relation to a co-operative, means—

(a)a director, secretary or employee of the co-operative; or

(b)a person who is concerned, or takes part, in the management of the co-operative, whether or not as a director; or

(c)a receiver and manager, appointed under a power contained in an instrument, of property of the co-operative; or

(d)an administrator of a deed of arrangement executed by the co-operative; or

(e)a liquidator or provisional liquidator appointed in a voluntary winding up of the co-operative; or

(f)an administrator of the co-operative appointed under—

(i)Part 5.3A of the Corporations Act as applying under this Act; or

(ii)Division 5 of Part 12 of this Act; or

(iii)a trustee or other person administering a compromise or arrangement made between the co-operative and another person;

primary activity has the meaning given by section 114;

principal executive officer, in relation to a co-operative or a subsidiary of a co-operative, means the principal executive officer of the co-operative or subsidiary for the time being, by whatever name called, and whether or not that officer is a director or the secretary;

records includes books, financial records, financial statements, minutes, registers, deeds, writings, documents and other sources of information compiled, recorded or stored in written form or on microfilm, or by electronic process, or in any other manner or by any other means;

Register means the register of incorporated co-operatives continued under section 425;

related, in the context of related bodies corporate, has the meaning given by Schedule 2;

relevant interest has the meaning given by Schedule 2;

rule means registered rule of a co-operative for the time being in force;

seal, in relation to a co-operative, means the common seal or official seal;

secretary, of a co-operative, means the person appointed under section 214A to be, or to act as, the secretary of the co-operative;

share means share in the share capital of a co-operative;

spouse—a person is the spouse of another if they are legally married;

subordinated debt has the meaning given by section 257;

subsidiary has the same meaning as in the Corporations Act;

surplus, in relation to a co-operative, means the excess of income over expenditure after making proper allowance for taxation expense, depreciation in value of the property of the co-operative and future contingencies;

trading co-operative means a trading co-operative within the meaning of section 14.

(2)In this Act—

(a)a reference to a function includes a reference to a power, authority and duty; and

(b)a reference to the exercise of a function includes, in relation to a duty, a reference to the performance of the duty.

(3)Words and expressions that have a defined meaning in the Corporations Act have, when used in this Act in relation to a body corporate that is not a co-operative, the same meaning as in the Corporations Act.

(4)A reference in this Act to a provision of the Corporations Act applying under this Act (or a part of this Act) is a reference to that provision to the extent that it is declared to apply to a matter for the purposes of Part 3 of the Corporations (Ancillary Provisions) Act 2001 as a law of this State.

5—Qualified privilege

(1)Where this Act provides that a person has qualified privilege in respect of an act, matter or thing, the person, in respect of that act, matter or thing—

(a)has qualified privilege in proceedings for defamation; or

(b)is not, in the absence of malice on the person's part, liable to an action for defamation at the suit of any person.

(2)In subsection (1)—

malice includes ill-will to the person concerned or any other improper motive.

(3)Neither this section nor a provision of this Act that provides as mentioned in subsection (1) limits or affects any right, privilege or immunity that a person has, apart from this section or such a provision, as defendant in proceedings, or an action, for defamation.

Division 3—The co-operative principles

6—Co-operative principles

The co-operative principles are the following principles:

1—Voluntary and open membership

Co-operatives are voluntary organisations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination.

2—Democratic member control

Co-operatives are democratic organisations controlled by their members, who actively participate in setting their policies and making decisions. Men and women serving as elected representatives are accountable to the membership. In primary co-operatives members have equal voting rights (one member, one vote) and co-operatives at other levels are organised in a democratic manner.

3—Member economic participation

Members contribute equitably to, and democratically control, the capital of their co-operative. At least part of that capital is usually the common property of the co-operative. They usually receive limited compensation, if any, on capital subscribed as a condition of membership. Members allocate surpluses for any or all of the following purposes: developing the co-operative, possibly by setting up reserves, part of which at least would be indivisible; benefiting members in proportion to their transactions with the co-operative; and supporting other activities approved by the membership.

4—Autonomy and independence

Co-operatives are autonomous, self help organisations controlled by their members. If they enter into agreements with other organisations, including governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their co-operative autonomy.

5—Education, training and information

Co-operatives provide education and training for their members, elected representatives, managers and employees so they can contribute effectively to the development of their co-operatives. They inform the general public, particularly young people and opinion leaders, about the nature and benefits of co-operation.

6—Co-operation among co-operatives

Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, national, regional and international structures.

7—Concern for the community

While focusing on member needs, co-operatives work for the sustainable development of their communities through policies accepted by their members.

7—Interpretation to promote co-operative principles

In the interpretation of a provision of this Act or the regulations, a construction that would promote co-operative principles is to be preferred to a construction that would not promote co-operative principles.

Division 4—Application of Corporations Act to co-operatives

8—Definitions

In this Division—

Corporations legislation means the Corporations legislation to which Part 1.1A of the Commonwealth Act applies;

excluded Corporations legislation provision means any provision of the Corporations legislation that does not apply to co-operatives as a law of the Commonwealth.

9—Exclusion of operation of Corporations Act

(1)A co-operative is declared to be an excluded matter for the purposes of section 5F of the Corporations Act in relation to the whole of the Corporations legislation other than to the extent specified in subsection (2).

(2)Subsection (1) does not exclude the application of the following provisions of the Corporations legislation to co-operatives to the extent that those provisions would otherwise be applicable to them:

(a)provisions that relate to any matter that the regulations provide is not to be excluded from the operation of the Corporations Act; or

(ab)provisions that relate to the registration of a co-operative as a company under Part 5B.1 of the Corporations Act; or

(b)provisions that relate to the role of a co-operative in the formation of a company; or

(c)provisions that relate to substantial shareholdings, by or involving a co-operative, in a company; or

(d)provisions that confer or impose functions on a co-operative as a member, or former member, of a corporation; or

(e)provisions that relate to dealings by a co-operative in securities of a body corporate, other than securities of the co-operative; or

(f)provisions that confer or impose functions on a co-operative in its dealings with a corporation, not being dealings in securities of the co-operative; or

(h)provisions relating to derivatives; or

(i)provisions relating to—

(i)financial services licensees (as defined in section 761A of the Corporations Act) whose licence covers dealing in, or providing advice about, securities; or

(ii)regulated principals (as defined in section 1430 of the Corporations Act) when dealing in, or providing advice about, securities as authorised by Subdivision D of Division 1 of Part 10.2 of that Act; or

(j)provisions relating to the carrying on of financial services business (as defined in section 761A of the Corporations Act) relating to securities; or

(k)provisions relating to financial statements, and audits of financial statements, of—

(i)financial services licensees (as defined in section 761A of the Corporations Act) whose licence covers dealing in, or providing advice about, securities; or

(ii)regulated principals (as defined in section 1430 of the Corporations Act) when dealing in, or providing advice about, securities as authorised by Subdivision D of Division 1 of Part 10.2 of that Act; or

(l)provisions relating to money and scrip of clients of—

(i)financial services licensees (as defined in section 761A of the Corporations Act) whose licence covers dealing in, or providing advice about, securities; or

(ii)regulated principals (as defined in section 1430 of the Corporations Act) when dealing in, or providing advice about, securities as authorised by Subdivision D of Division 1 of Part 10.2 of that Act.

(3)To remove doubt it is declared that subsection (1) does not operate to exclude the operation of the following provisions of the Corporations Act except in relation to shares in, debentures of or deposits with a co-operative:

(a)Part 1.2A (Disclosing entities);

(b)Chapter 2L (Debentures);

(c)Chapter 6D (Fundraising);

(d)Part 7.10 (Market misconduct and other prohibited conduct relating to financial products and services).

10—Application of excluded Corporations legislation provisions by the regulations

(1)The regulations may declare any matter relating to co-operatives to be an applied Corporations legislation matter for the purposes of Part 3 of the Corporations (Ancillary Provisions) Act 2001 in relation to any excluded Corporations legislation provision or provisions (with such modifications as may be specified in the declaration).

(2)Without limiting subsection (1), any such regulations may—

(a)specify modifications to the definitions and other interpretative provisions of the Corporations legislation relevant to any excluded Corporations legislation provision that is the subject of the declaration; and

(b)provide for ASIC to exercise a function under any excluded Corporations legislation provision that is the subject of the declaration, but only if—

(i)ASIC is to exercise that function pursuant to an agreement of the kind referred to in section 11(8) or (9A)(b) of the Australian Securities and Investments Commission Act 2001 of the Commonwealth; and

(ii)ASIC is authorised to exercise that function under section 11 of the Australian Securities and Investments Commission Act 2001 of the Commonwealth; and

(c)specify that a reference to ASIC in any excluded Corporations legislation provision that is the subject of the declaration is to be a reference to another person or body; and

(d)identify any excluded Corporations legislation provision to which the declaration relates by reference to that provision as in force at a particular time; and

(e)specify a court (other than the Supreme Court) to exercise any function conferred on a court or the Court by any excluded Corporations legislation provision to which the declaration relates.

(3)Words and expressions used in this section and also in Part 3 of the Corporations (Ancillary Provisions) Act 2001 have the same meaning as they have in that Part.

11—Modifications to applied provisions

(1)If a provision of this Act declares a matter to be an applied Corporations legislation matter for the purposes of Part 3 of the Corporations (Ancillary Provisions) Act 2001 (the declaratory provision) in relation to any provisions of the Corporations legislation (the applied provisions), the declaratory provision is taken to specify the following modifications to the applied provisions:

(a)a reference to a constitution is to be read as a reference to the rules;

(b)a cross-reference to another provision of the Corporations Act is, if that cross-reference is not appropriate (because, for example, the provision cross-referred to is not among the applied provisions), to be read as a cross-reference to the equivalent provision of this Act;

(ba)a reference to the Australian Securities and Investments Commission, however referred to, is to be read as a reference to the Corporate Affairs Commission;

(c)a reference to the Gazette is to be read as a reference to the South Australian Gazette;

(d)a reference to the Commonwealth is to be read as a reference to the State;

(e)provisions which are not relevant to co-operatives or which are incapable of application to co-operatives are to be ignored;

(f)modifications directed by the Commission under subsection (2).

(2)The Commissioner may, by order published in the Gazette, give directions as to the modifications that are necessary or desirable for the effectual operation of applied provisions.

(3)This section has effect subject to any specific requirements of provisions of this Act that apply provisions of the Corporations Act.

Part 2—Formation

Division 1—Types of co-operatives

13—Types of co-operatives

(1)A body may be registered under this Act as a co-operative.

(2)A co-operative may be either—

(a)a trading co-operative; or

(b)a non-trading co-operative.

14—Trading co-operatives

(1)A trading co-operative must have a share capital.

(2)A trading co-operative is a co-operative whose rules allow it to give returns or distributions on surplus or share capital.

(3)A trading co-operative must have a membership of—

(a)2 or more co-operatives, in the case of an association; and

(b)2 or more associations, in the case of a federation; and

(c)for any other trading co-operative—

(i)if a lesser number than 5 is prescribed by regulation—at least that number of active members; or

(ii)otherwise—5 or more active members.

15—Non-trading co-operatives

(1)A non-trading co-operative is a co-operative whose rules prohibit it from giving returns or distributions on surplus or share capital to members, other than the nominal value of shares, if any, at winding up.

(2)A non-trading co-operative may or may not have a share capital.

(3)A non-trading co-operative must have a membership of—

(a)2 or more co-operatives, in the case of an association; and

(b)2 or more associations, in the case of a federation; and

(c)for any other non-trading co-operative—

(i)if a lesser number than 5 is prescribed by regulation—at least that number of active members; or

(ii)otherwise—5 or more active members.

Division 2—Formation meeting

16—Formation meeting

(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)in the case of a proposed trading co-operative, 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 Commission; 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 Commission 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, or if a lesser number than 5 is prescribed by regulation, not less than the prescribed number of persons, suitably qualified to be members of the proposed co-operative in the case of any other co-operative.

(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.

Division 3—Approval of disclosure statement and rules

17—Approval of disclosure statement

(1)A draft disclosure statement of a proposed trading co-operative must be submitted to the Commission at least 28 days (or such shorter period as the Commission may allow in a particular case) before the formation meeting is due to be held.

(2)The disclosure statement must contain the information necessary to ensure that prospective members are adequately informed of the nature and extent of a person's financial involvement or liability as a member of the co-operative including so far as applicable—

(a)the estimated costs of formation; and

(b)the nature of the proposed membership of the co-operative; and

(c)the rights and liabilities attaching to shares in the proposed co-operative (including the capital required for the co-operative); and

(d)the projected income and expenditure of the co-operative for its first year of operation; and

(e)information about any contracts required to be entered into by the co-operative; and

(f)any other information that the Commission directs.

(3)The disclosure statement must not include a statement purporting to be made by an expert or to be based on a statement made by an expert unless—

(a)the expert has given, and has not withdrawn, the expert's written consent to the submission of the disclosure statement with the statement included in the form and context in which it is included; and

(b)there appears in the disclosure statement a statement that the expert has given, and has not withdrawn, the expert's consent.

(4)The Commission may—

(a)approve the draft statement as submitted; or

(b)amend the draft, or require a stated amendment of the draft, and then approve the amended statement; or

(c)approve a different statement to that submitted; or

(d)refuse to approve the statement; or

(e)require the person submitting the draft statement to give the Commission any additional information the Commission reasonably requires, and then act under paragraph (a), (b), (c) or (d).

(5)Approval may be given at any time before the formation meeting is held.

(5a)The Commission may approve a disclosure statement with or without conditions.

(6)Subject to subsection (7), the Commission approves of a disclosure statement by giving notice of the approval of the statement to the person who submitted the draft statement to the Commission.

(7)The Commission is to be considered to have approved the disclosure statement as submitted to the Commission unless at least 5 days before the formation meeting is due to be held—

(a)the Commission gives notice of approval of a different disclosure statement; or

(b)the Commission gives notice to the person who submitted the draft statement that the Commission is still considering the matter; or

(c)the Commission gives notice of refusal to approve the disclosure statement.

(8)A notice under this section must be in writing.

18—Approval of rules

(1)A draft of the rules proposed for the co-operative (including active membership provisions in accordance with Part 6) must be submitted to the Commission at least 28 days (or such shorter period as the Commission may allow in a particular case) before the formation meeting is due to be held.

(2)The proposed rules must—

(a)be in accordance with section 102; and

(b)be in a form that may reasonably be approved; and

(c)if the rules contain any alterations of the model rules, be accompanied by a statement setting out the alterations and the reasons for the alterations.

(3)If the rules do not make provision for any matter included in the model rules, the Commission may approve the relevant provisions of the model rules as rules of the co-operative.

(4)The Commission may—

(a)approve the rules as submitted; or

(b)approve different rules to those submitted; or

(c)refuse to approve the rules.

(5)The Commission approves of the rules by giving written notice of the approval of the rules to the person who submitted the draft rules to the Commission.

(6)The Commission must give written notice of the refusal to approve the rules to the person who submitted the rules to the Commission.

Division 4—Registration of proposed co-operative

19—Application for registration of proposed co-operative

(1)An application for registration of a proposed co-operative (other than an existing body corporate) must—

(a)be made in the form approved by the Commission; and

(b)be accompanied by the prescribed fee; and

(c)be signed by—

(i)at least 2 directors in the case of an association or federation; and

(ii)at least 5, or if a lesser number than 5 is prescribed by regulation, at least the prescribed number of, suitably qualified members, including 2 directors elected at the formation meeting, in the case of any other proposed co-operative; and

(d)be accompanied by—

(i)2 copies of the proposed rules signed and certified by the persons who acted as chairperson and secretary at the formation meeting; and

(ii)in the case of a proposed trading co-operative, a copy of the disclosure statement presented to the formation meeting signed and certified by the persons who acted as chairperson and secretary at the formation meeting; and

(iii)a statement listing the name, address, occupation and place and date of birth of each director; and

(iv)any other particulars that the Commission may require in a particular case.

(2)The application must be lodged with the Commission within 2 months after closure of the formation meeting for the proposed co-operative or within such extended period as the Commission may allow.

20—Registration of co-operative

(1)When an application is made under this Division for registration of a proposed co-operative, the Commission must register the co-operative and its rules if satisfied that the requirements for registration of the co-operative have been met.

(2)The requirements for registration of a co-operative under this Division are as follows:

(a)the proposed rules of the proposed co-operative must be the rules approved by the Commission under section 18; and

(b)the name of the proposed co-operative—

(i)must comply with the requirements of this Act; and

(ii)must not be such as is likely to be confused with the name of any other body corporate or any registered business name; and

(iii)must not be undesirable as a name for a registered co-operative; and

(iv)must conform with any direction of the Minister relating to the names of registered co-operatives; and

(c)the other requirements of this Act and the regulations must have been complied with in respect of the proposed co-operative and compliance must be likely to continue; and

(d)the proposed co-operative must be designed to function in accordance with the co-operative principles or, if it is not designed to function entirely in accordance with the co-operative principles, the Commission must be satisfied that there are special reasons why the co-operative should be registered under this Act; and

(e)there must be no reasonable cause for refusing registration of the proposed co-operative.

(3)If the Commission is not satisfied that the requirements for registration of the co-operative have been met the Commission may refuse to register the co-operative and its rules.

21—Incorporation and certificate of registration

(1)The incorporation of the co-operative takes effect upon the registration of the co-operative.

(2)On the registration of the co-operative, the Commission must issue a certificate of registration.

Division 5—Registration of an existing body corporate

22—Existing body corporate can be registered

A body corporate (other than a co-operative deemed to be registered under this Act) may apply to the Commission to be registered as a co-operative under this Act, if before or after the commencement of this Act, the body corporate was—

(a)incorporated or registered or deemed to be registered under the Corporations Act; or

(b)incorporated or registered under any other Act relating to the incorporation or registration of bodies corporate.

23—Formation meeting

(1)Before applying for registration as a co-operative the body corporate must pass a special resolution in accordance with its articles of association or rules approving of—

(a)the proposed registration; and

(b)any alterations of its existing memorandum and articles of association or rules necessary to enable the body corporate to comply with this Act.

(2)At the meeting to pass the special resolution—

(a)the proposed rules of the proposed co-operative approved under section 18, and including active membership provisions in accordance with Part 6, must also be passed by special resolution; and

(b)in the case of a proposed trading co-operative, a disclosure statement approved under section 17 must be presented to the meeting.

24—Application for registration

An application for registration must—

(a)be in the form approved by the Commission; and

(b)be accompanied by the prescribed fee; and

(c)be accompanied by—

(i)a declaration in writing signed by the directors or the committee of management of the body corporate stating that at a meeting of the directors or committee they formed the opinion that the body corporate will be able to pay its debts as they fall due; and

(ii)a report in the form approved by the Commission as to the affairs of the body corporate and showing its assets and liabilities, made up to the latest practicable date before the application; and

(iii)a copy of the memorandum and articles of association or rules of the body corporate in force at the date of the application; and

(iv)2 copies of the proposed rules of the co-operative, as provided for by the special resolution; and

(v)in the case of a proposed trading co-operative, a copy of the disclosure statement presented to the meeting held under section 23 and signed and certified by the directors or committee of management of the body corporate; and

(vi)a list containing the name, address, occupation and place and date of birth of each director; and

(vii)evidence to the satisfaction of the Commission of the incorporation of the existing body corporate; and

(viii)any other particulars that the Commission may require in a particular case.

25—Requirements for registration

(1)When an application is made for registration of a co-operative under this Division, the Commission must register the body corporate as a co-operative under this Act and register its rules under this Act if the Commission is satisfied that the requirements for registration of the co-operative have been met.

(2)The requirements for registration of a co-operative under this Division are as follows:

(a)the proposed rules of the proposed co-operative must be the rules approved by the Commission under section 18; and

(b)the name of the proposed co-operative—

(i)must comply with the requirements of this Act; and

(ii)must not be such as is likely to be confused with the name of any other body corporate or any registered business name; and

(iii)must not be undesirable as a name for a registered co-operative; and

(iv)must conform with any direction of the Minister relating to the names of registered co-operatives; and

(c)the other requirements of this Act and the regulations must have been complied with in respect of the proposed co-operative and compliance must be likely to continue; and

(d)there must be no reasonable cause for refusing registration of the proposed co-operative.

(3)If the Commission is not satisfied that the requirements for registration of the co-operative have been met the Commission may refuse to register the co-operative and its rules.

(4)If the Commission has determined under this section to register a body corporate under this Act, the body corporate must notify the authority responsible for registering the body corporate under the law under which it was previously registered of that determination.

(5)Despite anything to the contrary in this Division, the registration of a body corporate as a co-operative does not take effect until the body corporate ceases to be registered under the law under which it was previously registered.

(6)The body corporate must notify the Commission in writing within 7 days after ceasing to be registered under that other law.

26—Certificate of registration

(1)On the registration of the body corporate as a co-operative the Commission must—

(a)issue a certificate of registration; and

(b)publish notice of the issue of the certificate in the Gazette.

(2)The corporate name of a body corporate registered as a co-operative is the name approved by the Commission, as specified in the certificate of registration issued by the Commission.

27—Effect of registration

(1)The body corporate is to be taken to be incorporated under this Act on its registration.

(2)Except as expressly provided in this Act or the regulations, the registration and incorporation of the body corporate as a co-operative does not prejudice any right of a member in respect of any shares held at the time of registration and incorporation.

(3)The change of registration and incorporation does not affect the identity of the body corporate which is deemed to be the same body after registration as a co-operative as it was before and no act, matter or thing is affected by the change.

Division 6—Conversion of co-operative

28—Conversion of co-operative

(1)A co-operative may, by alteration of its rules, convert from—

(a)a co-operative with share capital to a co-operative without share capital or vice versa; or

(b)a trading co-operative to a non-trading co-operative or vice versa.

(2)An alteration of the rules for the conversion of a co-operative must be approved by special resolution passed by means of a special postal ballot.

Division 7—Appeals

29—Appeal against refusal to approve disclosure statement

The person who submitted a draft disclosure statement to the Commission under this Act may appeal to the District Court against—

(a)a decision of the Commission to refuse to approve the statement; or

(b)a failure of the Commission to approve the statement.

30—Appeal against refusal to approve draft rules

The person who submitted draft rules to the Commission under this Act may appeal to the District Court against—

(a)a decision of the Commission to refuse to approve the rules; or

(b)a failure of the Commission to approve the rules.

31—Appeal against refusal to register

The applicants for registration of a proposed co-operative under this Part may appeal to the District Court against—

(a)a decision of the Commission to refuse to register the co-operative; or

(b)a failure of the Commission to register the co-operative.

32—Commission to comply with Court determination

The Commission must comply with a determination of the District Court on an appeal under this Division.

Division 8—General

33—Stamp duty exemption for certain co-operatives

(1)This section applies to a co-operative that—

(a)has as its primary activity the providing of any community service or benefit; and

(b)was, before it was incorporated under this Act, an unincorporated club, association or body operating to provide sporting or recreational facilities for its members and not carried on for the pecuniary profit of its members.

(2)An instrument transferring to a co-operative to which this section applies any property which was, immediately before the co-operative was incorporated, held by or on behalf of the unincorporated club, association or body is not chargeable with stamp duty.

34—Acceptance of money by proposed co-operative

(1)A proposed co-operative or any person on its behalf or otherwise which accepts any money for the proposed co-operative before the proposed co-operative is registered must hold that money on trust until the co-operative is registered.

(2)If a co-operative is not registered within the period of 3 months after the acceptance of any money under subsection (1), the proposed co-operative or the person who accepted the money on its behalf must refund the money to the person who paid it.

Maximum penalty: $6 000.

35—Issue of duplicate certificate

The Commission must issue a duplicate certificate of registration—

(a)if the Commission is satisfied that the original certificate is lost or destroyed; and

(b)on payment of the prescribed fee.

Part 3—Legal capacity and powers

Division 1—General powers

36—Effect of incorporation

As a body corporate, a co-operative—

(a)has perpetual succession; and

(b)has a common seal; and

(c)may sue and be sued in its corporate name; and

(d)subject to this Act, is capable of taking, purchasing, leasing, holding, selling and disposing of real and personal property; and

(e)may do and suffer all acts and things that bodies corporate may by law do and suffer and which are necessary or expedient.

37—Power to form companies and enter into joint ventures

Without limiting any other provision of this Act, a co-operative has power—

(a)to form or participate in the formation of a body corporate or unit trust;

(b)to acquire interests in and sell or otherwise dispose of interests in bodies corporate, unit trusts and joint ventures;

(c)to form or enter into a partnership, joint venture or other association with other persons or bodies.

Division 2—Doctrine of ultra vires abolished

38—Interpretation

In this Division—

(a)a reference to the doing of an act by a co-operative includes a reference to the making of an agreement by the co-operative and a reference to a transfer of property to or by the co-operative; and

(b)a reference to legal capacity includes a reference to powers.

39—Doctrine of ultra vires abolished

(1)The objects of this Division are—

(a)to provide that the doctrine of ultra vires does not apply to co-operatives; and

(b)without affecting the validity of a co-operative's dealings with others, to ensure that the co-operative's officers and members give effect to the provisions of the co-operative's rules relating to the primary activities or powers of the co-operative.

(2)This Division is to be construed and have effect in accordance with subsection (1).

40—Legal capacity

(1)A co-operative has, both within and outside the State, the legal capacity of a natural person.

(2)Without limiting subsection (1), a co-operative has, both within and outside the State, power—

(a)to issue and allot fully or partly paid shares in the co-operative; and

(b)to issue debentures of the co-operative; and

(c)to distribute any of the property of the co-operative among the members, in kind or otherwise; and

(d)to give security by charging uncalled capital; and

(e)to grant a charge on property of the co-operative; and

(f)to procure the co-operative to be registered or recognised as a body corporate in any place outside the State; and

(g)to do any other act that it is authorised to do by any other law (including a law of a place outside the State).

(3)Subsections (1) and (2) have effect in relation to a co-operative—

(a)subject to this Act and the regulations but despite section 41(2); and

(b)if the co-operative's rules contain an express or implied restriction on, or an express or implied prohibition of, the exercise by the co-operative of any of its powers, despite that restriction or prohibition; and

(c)if the rules of the co-operative contain a provision stating the objects of the co-operative, despite that fact.

(4)The fact that the doing of an act by a co-operative would not be, or is not, in its best interests does not affect its legal capacity to do the act.

41—Restrictions on co-operatives in rules

(1)A co-operative's rules may contain an express restriction on, or an express prohibition of, the exercise by the co-operative of a power of the co-operative.

(2)A co-operative contravenes this section if—

(a)it exercises a power contrary to an express restriction on, or an express prohibition of, the exercise of that power, being a restriction or prohibition contained in the co-operative's rules; or

(6)A receiver must make provision in respect of reasonable fees and expenses of an auditor in respect of a particular period as required by subclause (4) or (5) whether or not the auditor has made a claim for fees and expenses for that period, but where the auditor has not made a claim, the receiver may estimate the reasonable fees and expenses of the auditor for that period and make provision in accordance with the estimate.

(7)For the purposes of this clause the references in Division 6 of Part 5.6 of the Corporations Act (as applying under this Act) to the relevant date are to be read as references to the date of the appointment of the receiver, or of possession being taken or control being assumed, as the case may be.

25—Enforcement of controller's duty to make returns

(1)If a receiver of property of a co-operative—

(a)who has made default in making or lodging any return, account or other document or in giving any notice required by law fails to make good the default within 14 days after the service on the controller, by any member or creditor of the co-operative or trustee for debenture holders, of a notice requiring the controller to do so; or

(b)who has become a controller of property of the co-operative otherwise than by being appointed a receiver of the property by a court and who has, after being required at any time by the liquidator of the co-operative so to do, failed to render proper accounts of, and to vouch, the controller's receipts and payments and to pay over to the liquidator the amount properly payable to the liquidator,

the Supreme Court may make an order directing the controller to make good the default within the time specified in the order.

(2)An application under subclause (1) may be made—

(a)if subclause (1)(a) applies, by a member or creditor of the co-operative or by a trustee for debenture holders; and

(b)if subclause (1)(b) applies, by the liquidator of the co-operative.

26—Supreme Court may remove controller for misconduct

If, on the application of a co-operative, the Supreme Court is satisfied that a controller of property of the co-operative has been guilty of misconduct in connection with performing or exercising any of the controller's functions and powers, the Court may order that, on and after a specified day, the controller cease to act as receiver or give up possession or control, as the case requires, of property of the co-operative.

27—Supreme Court may remove redundant controller

(1)The Supreme Court may order that, on and after a specified day, a controller of property of a co-operative—

(a)cease to act as receiver, or give up possession or control, as the case requires, of property of the co-operative; or

(b)act as receiver, or continue in possession or control, as the case requires, only of specified property of the co-operative.

(2)The Supreme Court may make an order under subclause (1) if it is satisfied that the objectives for which the controller was appointed, or entered into possession or took control of property of the co-operative, as the case requires, have been achieved, so far as is reasonably practicable, except in relation to any property specified in the order under subclause (1)(b).

(3)For the purposes of subclause (2), the Supreme Court may have regard to—

(a)the co-operative's interests; and

(b)the interests of the holder of the charge that the controller is enforcing; and

(c)the interests of the co-operative's other creditors; and

(d)any other relevant matter.

(4)The Supreme Court may make an order under subclause (1) on the application of a liquidator appointed for the purposes of winding up the co-operative in insolvency.

(5)An order under subclause (1) may also prohibit the holder of the charge from doing any or all of the following, except with the permission of the Supreme Court:

(a)appointing a person as receiver of property of the co-operative under a power contained in an instrument relating to the charge;

(b)entering into possession, or taking control, of the property for the purpose of enforcing the charge;

(c)appointing a person so to enter into possession or take control (whether as agent for the chargee or for the co-operative).

28—Effect of clauses 26 and 27

(1)Except as expressly provided in clause 26 or 27, an order under that clause does not affect a charge on property of a co-operative.

(2)Nothing in clause 26 or 27 limits any other power of the Supreme Court to remove, or otherwise deal with, a controller of property of a co-operative (for example, the Supreme Court's powers under clause 14).

Schedule 5—Savings and transitional

1—Definitions

In this Schedule—

active membership provisions, in relation to rules of a co-operative, means provisions imposing a duty on all persons who become members of the co-operative to be active members;

repealed Act means the Co-operatives Act 1983;

transferred co-operative means a body corporate that is deemed by clause 4, 5 or 6 of this Schedule to be a co-operative registered under this Act.

2—Acts Interpretation Act applies

The Acts Interpretation Act 1915 applies, except to the extent of any inconsistency with the provisions of this Schedule, to the repeal of the Co-operatives Act 1983.

3—Regulations

The Governor may make regulations of a savings or transitional nature consequent on the enactment or commencement of this Act.

4—Saving of existing co-operatives

(1)On the commencement of this clause, any existing body corporate that was a co-operative registered under the repealed Act immediately before that commencement is deemed to be a co-operative registered under this Act.

(2)Each transferred co-operative under this clause is the same legal entity as it was before the commencement of this clause with the same name, rules and membership as it had immediately before that commencement.

(3)The committee of management of a transferred co-operative as constituted immediately before its deemed registration under this Act is deemed to be the board of directors of the co-operative referred to in section 206 of this Act and each member of that committee of management is deemed to be a director of the transferred co-operative even if he or she does not qualify to be a director of a co-operative under section 208 of this Act.

(4)A certificate of incorporation issued by the Commission under the provisions of the repealed Act as continuing in force for the purposes of this clause is, for the purposes of this Act, deemed to be a certificate of registration issued under this Act.

5—Co-operatives in process of formation before commencement

(1)If, before the commencement of this clause, the meeting referred to in clause 3 of Form 2 of the Co-operatives Regulations 1996 had been held and an application for the registration of a co-operative was duly made under the repealed Act but the co-operative had not been registered under that Act—

(a)the provisions of Division 1 of Part 3 of that Act continue to apply to the registration of the co-operative; and

(b)on the registration of the co-operative under those provisions, the co-operative is deemed to be a co-operative registered under this Act.

(2)Each transferred co-operative under this clause is the same legal entity as it was before its deemed registration under this Act with the same name, rules and membership as it had immediately before that deemed registration.

(3)The committee of management of a transferred co-operative as constituted immediately before its deemed registration under this Act is deemed to be the board of directors of the co-operative referred to in section 206 of this Act and each member of that committee of management is deemed to be a director of the transferred co-operative even if he or she does not qualify to be a director of a co-operative under section 208 of this Act.

(4)A certificate of incorporation issued by the Commission under the provisions of the repealed Act as continuing in force for the purposes of this clause is, for the purposes of this Act, deemed to be a certificate of registration issued under this Act.

6—Co-operatives in process of amalgamation before commencement

(1)If, before the commencement of this clause, 2 or more co-operatives registered under the repealed Act had passed special resolutions resolving to amalgamate the co-operatives and an application for their amalgamation was duly made under the repealed Act but the proposed co-operative had not been registered under that Act—

(a)the provisions of Division 2 of Part 3 of that Act continue to apply to the registration of the proposed co-operative; and

(b)on the registration of the co-operative formed by the amalgamation, the co-operative is deemed to be a co-operative registered under this Act.

(2)Each transferred co-operative under this clause is the same legal entity as it was before its deemed registration under this Act with the same name, rules and membership as it had immediately before that deemed registration.

(3)The committee of management of a transferred co-operative as constituted immediately before its deemed registration under this Act is deemed to be the board of directors of the co-operative referred to in section 206 of this Act and each member of that committee of management is deemed to be a director of the transferred co-operative even if he or she does not qualify to be a director of a co-operative under section 208 of this Act.

(4)A certificate of incorporation issued by the Commission under the provisions of the repealed Act as continuing in force for the purposes of this clause is, for the purposes of this Act, deemed to be a certificate of registration issued under this Act.

7—Rules of co-operative in process of alteration before commencement

(1)If, before the commencement of this clause, a co-operative registered under the repealed Act had passed a special resolution resolving to alter its rules and an application for the registration of the proposed alteration of the rules was duly made under the repealed Act but the alteration had not been registered under that Act—

(a)the provisions of Division 3 of Part 3 of that Act continue to apply to the registration of the alteration of the rules of the co-operative; and

(b)on the registration of the alteration of the rules of the co-operative under those provisions, the alteration is deemed to be an alteration registered under this Act.

(2)A certificate issued by the Commission under section 19(4) of the repealed Act as continuing in force for the purposes of this clause is, for the purposes of this Act, deemed to be a certificate issued under section 110 of this Act.

8—Rules of transferred co-operative to conform with Act

(1)The rules of a transferred co-operative have effect subject to this Act and the regulations.

(2)A transferred co-operative must bring its rules into conformity with this Act and the regulations—

(a)within 2 years after the commencement of this Act; or

(b)within such further period as may be approved by the Commission in respect of that co-operative.

9—Modification of certain rules of transferred co-operative

(1)This clause applies if, in the opinion of the Commission, the rules of a transferred co-operative should be altered to achieve conformity with any requirement of this Act.

(2)The Commission may, by instrument in writing served on a transferred co-operative, require the co-operative within a period specified in the instrument to alter its rules—

(a)in a manner specified in the instrument; or

(b)in a manner approved by the Commission.

(3)If, within the period specified in the instrument, the co-operative fails to alter its rules as required by the instrument, the Commission may, by notation on the registered copy of the rules, alter the rules of the co-operative.

(4)The Commission must give written notice to a co-operative of any alteration of its rules made by the Commission under this clause.

(5)Any alteration made by the Commission to the rules of a transferred co-operative under this clause is as valid and effectual as if it were an alteration made and registered under Part 5 of this Act.

10—Rules of transferred co-operative to contain active membership provisions

The board of directors of a transferred co-operative must comply with Division 2 of Part 6 of this Act—

(a)within 2 years of the commencement of this Act; or

(b)within any further period approved by the Commission in respect of that co-operative.

11—Qualifications for membership of transferred co-operative

Section 62 of this Act does not apply in relation to a person who applies for membership of a transferred co-operative after the commencement of this Act if the rules of the co-operative do not contain active membership provisions.

12—Name of transferred co-operative to comply with this Act

If the name of a transferred co-operative does not comply with the requirements of this Act the co-operative must, within 12 months of the commencement of this Act, change the name of the co-operative to a name that complies with the requirements of this Act.

13—Transferred co-operative carrying on business with too few members

A transferred co-operative that has less than the minimum number of members required by this Act must, within 12 months of the commencement of this Act, increase its membership to the minimum number required by this Act.

14—Saving of voting rights of members of transferred co-operative

Despite any other provision of this Act, if on the commencement of this clause the rules of a transferred co-operative do not comply with section 175(2) of this Act, those rules are valid until the second anniversary of that commencement.

15—Inactive members of transferred co-operative entitled to vote if rules do not contain active membership provisions

Despite section 179 of this Act, a member of a transferred co-operative who is not an active member of the co-operative is entitled to vote if the rules of the co-operative do not contain active membership provisions.

16—Extension of time for holding of AGM by transferred co-operative

If under section 9 of the repealed Act the Commission extended the time prescribed by that Act for the holding of an annual general meeting by a co-operative that is a transferred co-operative, that extension of time is deemed to be an extension of time allowed by the Commission under section 199(2)(b) of this Act.

17—Inactive members of transferred co-operative entitled to be requisitioning members if rules do not contain active membership provisions

Despite section 204(2) of this Act, a member of a transferred co-operative who is not an active member of the co-operative is entitled to be a requisitioning member if the rules of the co-operative do not contain active membership provisions.

18—Transferred co-operative to remove disqualified persons from board of directors

If a director of a transferred co-operative is not qualified to be a director of a co-operative under this Act, the transferred co-operative must, within 12 months of the commencement of this Act, remove the director from office and appoint a qualified person to fill the vacancy until the next annual general meeting.

19—Prospectuses issued by transferred co-operative before commencement in relation to issue of debentures to non-members etc

(1)This clause applies in relation to an issue of debentures by a transferred co-operative to persons other than persons referred to in section 258(4) of this Act.

(2)A prospectus issued by a transferred co-operative under section 31(1)(a) of the repealed Act before the commencement of this Act is deemed to be a prospectus issued under section 258 of this Act.

20—Prospectuses issued by transferred co-operative before commencement in relation to issue of debentures to members

(1)This clause applies in relation to an issue of debentures by a transferred co-operative to persons referred to in section 259(1) of this Act.

(2)A prospectus issued by a transferred co-operative under section 31(1)(a) of the repealed Act before the commencement of this Act is deemed to be an approved disclosure statement under section 259 of this Act.

21—Prospectuses issued by transferred co-operative before commencement in relation to issue of shares to members

(1)This clause applies in relation to an issue of shares to members of a transferred co-operative.

(2)A prospectus issued by a transferred co-operative under section 31(1)(a) of the repealed Act before the commencement of this Act is deemed to be a disclosure statement under section 144 of this Act.

22—Charges registered under repealed Act

A charge on property of a transferred co-operative registered under section 31(1)(b) of the repealed Act is deemed to be a charge registered under Schedule 3 of this Act and, for the purposes of the provisions of this Act relating to the priority of charges, the charge is deemed to have been registered under this Act at the time of registration under the repealed Act.

23—Application for exemption before commencement—qualifications of auditors

An application for an exemption under section 50(3) of the repealed Act duly made by a transferred co-operative under the repealed Act but not determined before the commencement of this clause is deemed to be an application for an exemption under section 234 of this Act.

24—Existing accounts provisions to apply to transferred co-operatives

Despite anything to the contrary in this Act or the regulations, Part 5 of the repealed Act continues to apply to a transferred co-operative in respect of the financial year of that co-operative next following the commencement of this clause if that financial year ends on or before the prescribed date.

25—Notice to be given of relevant interest in voting rights of member of transferred co-operative

If—

(a)on the commencement of this clause a person has a relevant interest in the right to vote of a member of a transferred co-operative; and

(b)the person became aware of that interest before that commencement,

the person must give notice of that interest to the co-operative within 6 months of that commencement.

Maximum penalty: $2 000.

26—Notice to be given of substantial share interest in transferred co-operative

(1)If—

(a)a person has a substantial share interest in a transferred co-operative on the commencement of this clause; and

(b)the person became aware of that interest before that commencement,

the person must give notice of that interest to the co-operative within 6 months of that commencement.

Maximum penalty: $2 000.

(2)For the purposes of this clause, a person has a substantial share interest in a co-operative if the nominal value of the shares in the co-operative in which the person has a relevant interest represents 5 per cent or more of the nominal value of the issued share capital of the co-operative.

27—Maximum permissible level of share interest in transferred co-operative

(1)If, on the commencement of this clause, a person has a relevant interest in shares of a transferred co-operative beyond the maximum permissible level prescribed by section 275(1) of this Act the person must, within 12 months of that commencement, reduce his or her interest to the maximum permissible level.

(2)Section 275(4) of this Act does not apply in relation to a transferred co-operative while the co-operative has less than the minimum number of members allowed by section 69 of this Act.

28—Unlisted companies to provide list of shareholders etc to transferred co‑operatives

A company to which section 281 of this Act applies must, within 6 months of the commencement of this clause, give to a transferred co-operative of which the company is a member the list referred to in that section.

29—Registered office of transferred co-operative

The registered office of a transferred co-operative last notified to the Commission under the repealed Act is deemed to be the registered office of the transferred co-operative for the purposes of this Act.

30—Investigation into affairs of transferred co-operative

If, before the commencement of this clause, a special investigation under Part 7 of the Companies (South Australia) Code had commenced in respect of a transferred co-operative, that Part continues to apply in relation to that investigation.

31—Winding up of transferred co-operative

(1)If, before the commencement of this clause, a transferred co-operative had commenced to be wound up under the provisions of Division 3 of Part 6 of the repealed Act, the proceedings for the winding up of the co-operative may be continued and completed under those provisions as if this Act had not been enacted.

(2)A co-operative mentioned in subclause (1) whose registration has been cancelled is taken to be a deregistered co-operative.

(3)A provision of the Corporations Law dealing with a matter arising out of the repeal of Division 8 of Part 5.6 of the Corporations Law is adopted by this clause and applies for the purposes of the application of the Corporations Act under Division 3 of Part 12 of this Act.

(4)A co-operative that is being or has been dissolved under the repealed Division 8 of Part 5.6 of the Corporations Law is taken to be a co-operative that is being or has been deregistered under this Act.

32—Arrangement for transferred co-operative

An application for approval of a proposed arrangement duly made by a transferred co-operative under Part VIII of the Companies (South Australia) Code before the commencement of this clause is deemed to be an application for approval of an arrangement under section 334 of this Act.

33—Receivers and managers of transferred co-operative

If, immediately before the commencement of this clause, there was a receiver or manager of a transferred co-operative, Division 1 of Part 6 of the repealed Act continues to apply in relation to the transferred co-operative and the appointment of the receiver or manager, despite the enactment of this Act.

34—Documents

A certificate or other document, relating to a transferred co-operative, issued or registered by, filed or lodged with, or given to, the Commission under the repealed Act has effect as if it were a certificate or other document issued or registered by, filed or lodged with, or given to, the Commission under this Act.

35—Proceedings under the repealed Act in relation to transferred co‑operatives

The Commission may institute proceedings under the repealed Act for—

(a)an offence against the repealed Act committed before the commencement of this Act; or

(b)an offence against a provision of the repealed Act continued in operation by or under this Act.

36—Superseded references

(1)A reference in any other Act, statutory instrument or document of any kind to the Co-operatives Act 1983 is deemed to be a reference to this Act.

(2)A reference in any other Act, statutory instrument or document of any kind to a co-operative within the meaning of the Co-operatives Act 1983 is deemed to be a reference to a co-operative registered under this Act.

Legislative history

Notes

•This version is comprised of the following:

Part 1 30.1.2012
Part 2 1.7.2003 (Reprint No 3)
Part 3 30.1.2012
Part 4 4.9.2006
Part 5 1.7.2003 (Reprint No 3)
Part 6 1.7.2003 (Reprint No 3)
Part 7 1.6.2007
Part 8 1.7.2003 (Reprint No 3)
Part 9 30.1.2012
Part 10 1.6.2007
Part 11 1.7.2003 (Reprint No 3)
Part 12 4.9.2006
Part 13 4.9.2006
Part 14 1.7.2003 (Reprint No 3)
Part 15 1.7.2003 (Reprint No 3)
Part 16 1.7.2003 (Reprint No 3)
Part 17 1.7.2003 (Reprint No 3)
Part 18 1.7.2003 (Reprint No 3)
Schedules 16.6.2011

•Please note—References in the legislation to other legislation or instruments or to titles of bodies or offices are not automatically updated as part of the program for the revision and publication of legislation and therefore may be obsolete.

•Earlier versions of this Act (historical versions) are listed at the end of the legislative history.

•For further information relating to the Act and subordinate legislation made under the Act see the Index of South Australian Statutes or of Act

The Co-operatives Act 1997 was repealed by s 24 of the Co-operatives National Law (South Australia) Act 2013 on 22.5.2015.

Legislation repealed by principal Act

The Co-operatives Act 1997 repealed the following:

Co-operatives Act 1983

Legislation amended by principal Act

The Co-operatives Act 1997 amended the following:

Security and Investigation Agents Act 1995

Principal Act and amendments

Year No Title Assent Commencement
1997 61 Co-operatives Act 1997 7.8.1997 1.12.1997 (Gazette 20.11.1997 p1326)
1999 33 Financial Sector Reform (South Australia) Act 1999 17.6.1999 Sch (item 13)—1.7.1999 being the date specified under s 3(16) of the Financial Sector Reform (Amendments and Transitional Provisions) Act (No. 1) 1999 of the Commonwealth as the transfer date for the purposes of that Act: s 2(2)
2001 23 Statutes Amendment (Corporations) Act 2001 14.6.2001 Pt 10 (ss 31—68)—15.7.2001 being the day on which the Corporations Act 2001 of the Commonwealth came into operation: Commonwealth of Australia Gazette No. S 285, 13 July 2001 (Gazette 21.6.2001 p2270)
2002 25 Co-operatives (Miscellaneous) Amendment Act 2002 31.10.2002 1.7.2003 (Gazette 19.6.2003 p2598)
2002 34 Statutes Amendment (Corporations—Financial Services Reform) Act 2002 28.11.2002 Pt 6 (ss 15 & 16)—1.8.2003 (Gazette 10.7.2003 p2913)
2006 17 Statutes Amendment (New Rules of Civil Procedure) Act 2006 6.7.2006 Pt 19 (ss 65—78)—4.9.2006 (Gazette 17.8.2006 p2831)
2006 43 Statutes Amendment (Domestic Partners) Act 2006 14.12.2006 Pt 18 (ss 56—59)—1.6.2007 (Gazette 26.4.2007 p1352)
2006 44 Statutes Amendment (Justice Portfolio) Act 2006 14.12.2006 Pt 8 (s 12)—18.1.2007 (Gazette 18.1.2007 p234)
2011 11 Statutes Amendment (Personal Property Securities) Act 2011 14.4.2011 Pt 5 (s 22)—16.6.2011 (Gazette 16.6.2011 p2610); ss 19—21—30.1.2012 (Gazette 15.12.2011 p4988)

Provisions amended

Entries that relate to provisions that have been deleted appear in italics.

Provision How varied Commencement
Long title amended under Legislation Revision and Publication Act 2002 1.7.2003
Pt 1
Pt 1 Div 1
s 2 omitted under Legislation Revision and Publication Act 2002 1.7.2003
Pt 1 Div 2
s 4
s 4(1)
accounting records deleted by 25/2002 s 3(a) 1.7.2003
accounts deleted by 25/2002 s 3(a) 1.7.2003
Corporations Act inserted by 23/2001 s 31(a) 15.7.2001
deed of arrangement substituted by 23/2001 s 31(b) 15.7.2001
deregistration inserted by 25/2002 s 3(b) 1.7.2003
domestic partner inserted by 43/2006 s 56(1) 1.6.2007
financial records inserted by 25/2002 s 3(c) 1.7.2003
financial statements inserted by 25/2002 s 3(c) 1.7.2003
foreign co-operative (b) deleted by 33/1999 Sch (item 13(a)) 1.7.1999
amended by 23/2001 s 31(c) 15.7.2001
officer amended by 23/2001 s 31(d) 15.7.2001
records amended by 25/2002 s 3(d) 1.7.2003
secretary inserted by 25/2002 s 3(e) 1.7.2003
spouse inserted by 43/2006 s 56(2) 1.6.2007
subsidiary amended by 23/2001 s 31(e) 15.7.2001
s 4(3) and (4) inserted by 23/2001 s 31(f) 15.7.2001
Pt 1 Div 4 substituted by 23/2001 s 32 15.7.2001
s 9
s 9(2) amended by 34/2002 s 15(a) 1.8.2003
amended by 44/2006 s 12 18.1.2007
(g) deleted by 11/2011 s 19(1) 30.1.2012
(m) deleted by 11/2011 s 19(2) 30.1.2012
s 9(3) amended by 34/2002 s 15(b) 1.8.2003
s 11
s 11(1) amended by 25/2002 s 4 1.7.2003
Pt 2
s 14
s 14(2) substituted by 25/2002 s 5(a) 1.7.2003
s 14(3) amended by 25/2002 s 5(b) 1.7.2003
s 15
s 15(1) substituted by 25/2002 s 6(a) 1.7.2003
s 15(3) amended by 25/2002 s 6(b) 1.7.2003
s 16
s 16(3) amended by 25/2002 s 7 1.7.2003
s 17
s 17(4) amended by 25/2002 s 8(a) 1.7.2003
s 17(5a) inserted by 25/2002 s 8(b) 1.7.2003
s 19
s 19(1) amended by 25/2002 s 9 1.7.2003
s 22 amended by 23/2001 s 33 15.7.2001
Pt 3
s 46
s 46(2) substituted by 11/2011 s 20 30.1.2012
Pt 4
s 65
s 65(4) amended by 23/2001 s 34 15.7.2001
s 67
s 67(1) amended by 25/2002 s 10 1.7.2003
s 69
s 69(3) amended by 25/2002 s 11 1.7.2003
s 72
s 72(2) substituted by 25/2002 s 12 1.7.2003
s 73
s 73(1a) inserted by 25/2002 s 13 1.7.2003
s 77
s 77(1) substituted by 25/2002 s 14(a) 1.7.2003
s 77(1a) and (1b) inserted by 25/2002 s 14(a) 1.7.2003
s 77(4) deleted by 25/2002 s 14(b) 1.7.2003
s 88 amended by 23/2001 s 35 15.7.2001
s 92 amended by 17/2006 s 65 4.9.2006
s 94
s 94(1) amended by 17/2006 s 66 4.9.2006
s 95
s 95(1) amended by 17/2006 s 67(1) 4.9.2006
s 95(2) amended by 17/2006 s 67(2) 4.9.2006
s 96
s 96(1) amended by 17/2006 s 68(1) 4.9.2006
s 96(4) amended by 17/2006 s 68(2) 4.9.2006
s 97
s 97(1) amended by 17/2006 s 69(1) 4.9.2006
s 97(2) amended by 17/2006 s 69(2) 4.9.2006
s 98 amended by 17/2006 s 70 4.9.2006
s 99
s 99(1) amended by 17/2006 s 71 4.9.2006
s 100 amended by 17/2006 s 72 4.9.2006
Pt 6
s 130 amended by 23/2001 s 36 15.7.2001
s 134
s 134(1) amended by 25/2002 s 15 1.7.2003
s 134(4) substituted by 23/2001 s 37 15.7.2001
s 135
s 135(1) amended by 25/2002 s 16 1.7.2003
s 136 amended by 25/2002 s 17 1.7.2003
Pt 7
s 144 substituted by 25/2002 s 18 1.7.2003
ss 144A and 144B inserted by 25/2002 s 18 1.7.2003
s 145A inserted by 25/2002 s 19 1.7.2003
s 150
s 150(7) inserted by 25/2002 s 20 1.7.2003
s 153 amended by 43/2006 s 57 1.6.2007
s 171
s 171(4a) inserted by 25/2002 s 21 1.7.2003
Pt 8 heading substituted by 25/2002 s 22 1.7.2003
Pt 8 Div 1
s 174 substituted by 25/2002 s 23 1.7.2003
s 180A inserted by 25/2002 s 24 1.7.2003
Pt 8 Div 2A inserted by 25/2002 s 25 1.7.2003
Pt 8 Div 4
s 199
s 199(1) amended by 25/2002 s 26 1.7.2003
s 205
s 205(1) amended by 25/2002 s 27 1.7.2003
Pt 9
Pt 9 Div 1
s 208
s 208(2) substituted by 25/2002 s 28 1.7.2003
s 208(3)—(5) inserted by 25/2002 s 28 1.7.2003
s 209
s 209(1) amended by 23/2001 s 38(a) 15.7.2001
amended by 25/2002 s 29 1.7.2003
amended by 17/2006 s 73(1) 4.9.2006
s 209(2) amended by 23/2001 s 38(b) 15.7.2001
amended by 17/2006 s 73(2) 4.9.2006
s 209(4) amended by 17/2006 s 73(3) 4.9.2006
s 209(5) amended by 17/2006 s 73(4) 4.9.2006
s 209(6) amended by 17/2006 s 73(5) 4.9.2006
s 209(7) amended by 17/2006 s 73(6) 4.9.2006
s 209(8) substituted by 23/2001 s 38(c) 15.7.2001
s 210
s 210(4a) inserted by 25/2002 s 30 1.7.2003
s 211
s 211(6) amended by 25/2002 s 31 1.7.2003
Pt 9 Div 1A inserted by 25/2002 s 32 1.7.2003
Pt 9 Div 2
s 215
officer amended by 23/2001 s 39 15.7.2001
s 223 substituted by 23/2001 s 40 15.7.2001
amended by 25/2002 s 33 1.7.2003
Pt 9 Div 2A inserted by 25/2002 s 34 1.7.2003
Pt 9 Div 3
s 226
s 226(1)
associate amended by 43/2006 s 58 1.6.2007
Pt 9 Div 5 heading substituted by 25/2002 s 35 1.7.2003
s 233
s 233(1) substituted by 25/2002 s 36(a) 1.7.2003
s 233(2) amended by 23/2001 s 41(a) 15.7.2001
amended by 25/2002 s 36(b)—(f) 1.7.2003
s 233(3) substituted by 23/2001 s 41(b) 15.7.2001
s 235 deleted by 23/2001 s 42 15.7.2001
s 237
s 237(1) amended by 25/2002 s 37 1.7.2003
Pt 9 Div 6
s 239
s 239(1) amended by 11/2011 s 21 30.1.2012
s 244
s 244(1) substituted by 25/2002 s 38 1.7.2003
Pt 9 Div 7
s 247
s 247(5) amended by 33/1999 Sch (item 13(b)) 1.7.1999
s 250A inserted by 25/2002 s 39 1.7.2003
Pt 10
Pt 10 Div 1
s 254 amended by 25/2002 s 40 1.7.2003
s 257
s 257(3) substituted by 23/2001 s 43 15.7.2001
s 258 substituted by 23/2001 s 44 15.7.2001
s 258(1) amended by 34/2002 s 16 1.8.2003
s 258(5) inserted by 25/2002 s 41 1.7.2003
s 258A inserted by 25/2002 s 42 1.7.2003
s 261 substituted by 23/2001 s 45 15.7.2001
amended by 25/2002 s 43 1.7.2003
Pt 10 Div 2 may be repealed by proclamation: Sch 3 cl 55
Pt 10 Div 4
s 268
s 268(1) amended by 25/2002 s 44 1.7.2003
Pt 10 Div 5
s 270
s 270(1) amended by 23/2001 s 46 15.7.2001
amended by 43/2006 s 59 1.6.2007
Pt 11
s 275
s 275(2) amended by 25/2002 s 45(a) 1.7.2003
s 275(6) inserted by 25/2002 s 45(b) 1.7.2003
s 281
s 281(1) substituted by 23/2001 s 47(a) 15.7.2001
s 281(2) amended by 23/2001 s 47(b), (c) 15.7.2001
s 285
s 285(1) amended by 23/2001 s 48 15.7.2001
s 289
s 289(1) amended by 23/2001 s 49(a) 15.7.2001
s 289(2) amended by 23/2001 s 49(b) 15.7.2001
s 289(9) substituted by 23/2001 s 49(c) 15.7.2001
s 290 amended by 23/2001 s 50 15.7.2001
Pt 12
Pt 12 Div 2
s 301 amended by 23/2001 s 51 15.7.2001
s 302
s 302(1) amended by 25/2002 s 46 1.7.2003
s 305
s 305(1) amended by 25/2002 s 47 1.7.2003
s 306A inserted by 25/2002 s 48 1.7.2003
s 308
s 308(1) amended by 23/2001 s 52 15.7.2001
Pt 12 Div 3
s 309
s 309(2) amended by 23/2001 s 53 15.7.2001
s 310
s 310(4) amended by 23/2001 s 54 15.7.2001
s 310(4a) and (4b) inserted by 25/2002 s 49(a) 1.7.2003
s 310(6) substituted by 25/2002 s 49(b) 1.7.2003
s 310(6a) inserted by 25/2002 s 49(b) 1.7.2003
s 310A inserted by 25/2002 s 50 1.7.2003
s 311 substituted by 23/2001 s 55 15.7.2001
amended by 25/2002 s 51 1.7.2003
s 315 amended by 23/2001 s 56 15.7.2001
Pt 12 Div 4 substituted by 23/2001 s 57 15.7.2001
Pt 12 Div 5
s 325
s 325(1) amended by 17/2006 s 74(1) 4.9.2006
s 325(2) amended by 17/2006 s 74(2) 4.9.2006
Pt 12 Div 7
s 332 deleted by 23/2001 s 58 15.7.2001
s 333 substituted by 23/2001 s 59 15.7.2001
amended by 25/2002 s 52 1.7.2003
Pt 13
s 338
s 338(1) amended by 17/2006 s 75 4.9.2006
s 339
s 339(2) substituted by 23/2001 s 60 15.7.2001
s 342
s 342(1) amended by 17/2006 s 76 4.9.2006
s 347
s 347(2) amended by 23/2001 s 61 15.7.2001
s 347(3) amended by 25/2002 s 53 1.7.2003
s 354
s 354(1) amended by 33/1999 Sch (item 13(c)) 1.7.1999
s 354(3) substituted by 23/2001 s 62 15.7.2001
s 354(4) deleted by 23/2001 s 62 15.7.2001
s 358 substituted by 23/2001 s 63 15.7.2001
Pt 14
s 363
s 363(1) amended by 33/1999 Sch (item 13(d)) 1.7.1999
s 370 amended by 25/2002 s 54 1.7.2003
s 376
s 376(1) amended by 25/2002 s 55(a) 1.7.2003
s 376(2) amended by 25/2002 s 55(b) 1.7.2003
s 376(3) amended by 25/2002 s 55(c) 1.7.2003
s 376(4) inserted by 25/2002 s 55(d) 1.7.2003
Pt 15
s 384 amended by 25/2002 s 56 1.7.2003
s 396
s 396(3) amended by 23/2001 s 64 15.7.2001
s 402
s 402(2) amended by 23/2001 s 65 15.7.2001
Pt 16
s 426
s 426(2) amended by 25/2002 s 57 1.7.2003
s 432
s 432(2) amended by 25/2002 s 58 1.7.2003
Pt 17
s 443
s 443(4) amended by 25/2002 s 59 1.7.2003
Pt 18
s 449
s 449(1) substituted by 25/2002 s 60(a) 1.7.2003
s 449(2) amended by 25/2002 s 60(b) 1.7.2003
s 450
s 450(3) amended by 25/2002 s 61 1.7.2003
Pt 19 omitted under Legislation Revision and Publication Act 2002 1.7.2003
Sch 2
cl 16 amended by 23/2001 s 66 15.7.2001
Sch 3 may be repealed by proclamation: Sch 3 cl 55
Sch 3 Pt 1
cl 1
marketable security amended by 23/2001 s 67(a) 15.7.2001
PPS Act inserted by 11/2011 s 22(1) 16.6.2011
registration commencement time inserted by 11/2011 s 22(2) 16.6.2011
Sch 3 Pt 2
cl 26
relevant day amended by 23/2001 s 67(b) 15.7.2001
cl 27
cl 27(1) amended by 23/2001 s 67(c) 15.7.2001
cl 28
cl 28(1) amended by 23/2001 s 67(d) 15.7.2001
cl 31
cl 31(1) amended by 23/2001 s 67(e) 15.7.2001
cl 33
cl 33(1) amended by 17/2006 s 77(1) 4.9.2006
cl 34 amended by 17/2006 s 77(2) 4.9.2006
Sch 3 Pt 4 inserted by 11/2011 s 22(3) 16.6.2011
Sch 3 Pt 5 inserted by 11/2011 s 22(3) 16.6.2011
Sch 4
cl 1
administrator substituted by 23/2001 s 68(a) 15.7.2001
cl 3
cl 3(1) amended by 23/2001 s 68(b) 15.7.2001
cl 11
cl 11(1) amended by 33/1999 Sch (item 13(e)) 1.7.1999
amended by 25/2002 s 62 1.7.2003
cl 13
cl 13(3) amended by 17/2006 s 78(1) 4.9.2006
cl 24
cl 24(2) amended by 23/2001 s 68(c), (d) 15.7.2001
cl 24(3) amended by 23/2001 s 68(e) 15.7.2001
cl 24(7) amended by 23/2001 s 68(f) 15.7.2001
cl 27
cl 27(5) amended by 17/2006 s 78(2) 4.9.2006
Sch 5
cl 31
s 31(1) cl 31 redesignated as cl 31(1) by 25/2002 s 63 1.7.2003
cl 31(2)—(4) inserted by 25/2002 s 63 1.7.2003

Historical versions

Reprint No 1—1.7.1999
Reprint No 2—15.7.2001
Reprint No 3—1.7.2003
Reprint No 4—1.8.2003
4.9.2006
18.1.2007
1.6.2007
16.6.2011
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