
News & events
12 May 2011
It is the duty of a charity's trustees to ensure that a charity is run in accordance with all relevant legislation and with the charity’s own constitution. The specific obligations will of course depend on the structure under which a charity operates.
Incorporated charities must comply not only with the procedures set out in the charity’s own articles of association but also with the Companies Act 2006. These will apply whether the charity is considering administrative steps such as appointing trustees, arranging meetings and passing resolutions or more significant milestones such as changing a charity’s constitution. In our experience, many charity trustees and administrators are simply unaware of their responsibilities under companies legislation, and misconceptions about how charity business should be handled are commonplace.
For those charities governed by a trust deed, the trustees will have duties under the Trustee Act 2000. Along with the duty of care, trustees must keep proper records and accounts and ensure that trust funds are invested and reviewed properly. Trustee meetings and decisions must be properly documented and distributions managed appropriately.
Furley Page’s Charity law team can advise and assist you with:
For further information contact Anthony Chester on 01634 828277
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