Topic: Exit clauses

[manicscousers]

Our latest grant application needs one of these built into the constitution. Has anyone got one?
Can we borrow it  ;D

[Squash64]

Is this the sort of thing? -


Closing down of the Society
If 2/3rds of the active Committee members think that the Society should be closed down, the Committee should call a Special Meeting open to all members to discuss & vote on this. 14 days' notice should be given, and the purpose of the meeting should be publicised.
Any decision will be reached by a majority vote.
If the decision reached is to dissolve the Society, then the Committee should donate the assets (money, equipment, etc.) to another legally constituted organisation or charity.

[manicscousers]

Thanks for that, Betty. Do you know if we have to specify where the stuff goes.
Our worry is more what happens if the site disappears but the same would apply . None of the other grants required this but I've come across 3 now that do. I'll take this to the meeting tomorrow. Once again, thank you  :)

[Squash64]

Thanks for that, Betty. Do you know if we have to specify where the stuff goes.
Our worry is more what happens if the site disappears but the same would apply . None of the other grants required this but I've come across 3 now that do. I'll take this to the meeting tomorrow. Once again, thank you  :)

I 'borrowed' it from another constitution I found on the net so I'm not sure about if you have to say where the stuff goes.  I'm sure someone else will know.

I've just submitted an application for a grant, it's taken me months to sort it out and I was really nervous about sending it in case I'd missed something important.

[manicscousers]

All you can do is be honest and hope, I hope you get your grant  :)

[galina]

Hope you both will be successful with your applications.

[colt]

Hi Manic I have applied and been successful on about 10 grants, they have not been to do with the allotments but a youth football club. We have had to include a dissolution clause in all of them so please feel free to use ours posted below, I know it will need to be edited like remove donated to other sports clubs to other allotment society? If it helps you out?

12. Dissolution  

          (a)  A resolution to dissolve the Club shall only be proposed at a General
                 Meeting and shall be carried by a majority of at least three-quarters of the
                 Members present.

          (b)  The dissolution shall take effect from the date of the resolution and the
                 members of the Club Committee shall be responsible for the winding up of
                 the assets and liabilities of the Club.
        
       (c)   All assets will be donated to local sports groups and local schools or any other charitable organisations. Unless bought with grant aid money then we will contact said provider to see
              what needs to be done

[Squash64]

Hope you both will be successful with your applications.

Thanks Manics and Galina, I'll let you know if and when I hear anything.

[manicscousers]

Thanks, Colt, I've copied that for the meeting today, along with betty's
Thank you for your good wishes, Galina. One half of the grant has been applied for, we need the exit clause for the other half  :)

[colt]

Hiya manic did you get things sorted out?

[manicscousers]

Well, the exit clauses went down well but, I've been informed that the  club who's land we rent ( they call it a donation), and as we are classed as a section, all assets etc on the allotments belong to them  :o
I thought, as we have an association, our grant cheques were paid to us and the assets belong to the association. We have someone who can look into the legal aspects of their claim and he hasn't got back to me yet.
Will keep you informed  :)

[colt]

The way I understand it manic is that if each section got their own consitution then it is the section who applies for said grant that gets it. This is how it works with us because we have about 3 different sports sections and the welfare at the top but like I've said if each got their own it dont matter. I hope this helps?

[manicscousers]

Exactly my thoughts. Our other friend wants to find out legally, though  ::)

[Unwashed]

That doesn't sound too good Manics. 

How is your association constituted?  Are you an unincorporated association?  If you are then your association can't legally own anything because it isn't a legal personality, it's assets are owned jointly by the committee in trust.  If you're an Industrial and Benevolent or some other incorporated body then the assets are owned by the association.

But if you association's rules actually define the association to be a section of some umbrella organisation then it's quite right that the umbrella organisation owns the assets, albeit in trust for your members - though the precise terms of the trust will depend on the umbrella organisation's constitution.

Does the association have to register each allotmenteer as a member of the umbrella organisation?

It can be complicated and expensive to decide whether you have a license or a lease as there's not a particularly straight-forward legal test, but I don't think that's the issue here, though I could be wrong.

[manicscousers]

Thank you, Unwashed. Yes, we have to be a member of the club to have an allotment. So, it looks like everything I have been able to get for our organisation belongs to the club. Makes me want to give up, they have not given us a penny, they took 4 full sized allotments off us to build the new club. They have not had an AGM or declared the accounts for 4 years and it is run by a committee of volunteers. Makes me despair , we have a healthy balance and they owe everyone  :(

[Robert_Brenchley]

Is that legal? If the money is held in trust, as Unwashed says, then they wouldn't be able to use it for anything else.

[Unwashed]

Thank you, Unwashed. Yes, we have to be a member of the club to have an allotment. So, it looks like everything I have been able to get for our organisation belongs to the club. Makes me want to give up, they have not given us a penny, they took 4 full sized allotments off us to build the new club. They have not had an AGM or declared the accounts for 4 years and it is run by a committee of volunteers. Makes me despair , we have a healthy balance and they owe everyone  :(

Hmm, it certainly complicates things.

Just clarify again about your association.  Is it constituted as a section of the umbrella, or is it free-standing?

[manicscousers]

It's free standing, own constitution,  own bank account etc . The allotment association has been going for 40 years, when the old club was built by Parkside colliery for the men  :)

[Unwashed]

It's free standing, own constitution,  own bank account etc . The allotment association has been going for 40 years, when the old club was built by Parkside colliery for the men  :)

For what it's worth I'd say that the association's assets were owned in trust by the association committee.  Trouble is the situation isn't ideal - it's fine while it lasts, but if the social club ever got funny it gets complicated.  Sorry.