New corporate non-profit acts
November 13, 2014
Industry Canada has started the long and arduous process of notifying corporations under the Canada Corporations Act that have NOT continued to the CNCA that they will be dissolved. Industry Canada has sent notices of pending dissolution to the CCA corporations. Industry Canada's Monthly Transactions for November include a list of which corporations have received such notices of pending dissolution.
October 31, 2014
Industry Canada has updated their "Frequently Asked Questions" with respect to the CNCA Continuance process to provide some useful information to the public on what will happen to corporations still under the CCA now that the continuance deadline of October 17th has passed.
October 29, 2014
If you are submitting corporate documents to Industry Canada then expect delays in processing. What might have been a 1 week turnaround for a continuance may now be 2 weeks. This delay is caused by a large number of last minute continuance filings. However, if you have not filed your continuance documents do not despair - see our note here.
October 17, 2014
As many of you know on October 17, 2011, the Canada Not-for-profit Corporations Act (CNCA) came into force. Canadian non-profits under the Canada Corporations Act (CCA) have 3 years to make the transition. The bad news first - today is the deadline. The good news is that about 9000 CCA corporations of 19,000 or so have moved over to the CNCA. About another 1000 are in the pipeline according to Industry Canada and being processed. The next bit of good news that you should know is that although the deadline for the transition is October 17, 2014, dissolution is not automatic today and in fact Industry Canada will apparently start very slowly dissolving corporations beginning in November and focusing in on corporations who have not filed their corporate returns for many years.
September 22, 2014
CRA has been sending out numerous notices with respect to the importance of Canada Corporations Act (CCA) corporations continuing to the new Canada Not-for-profit Corporations Act (CNCA). A number of people have contacted us with respect to the notice. In some cases the Federal corporations were established in 2012 or 2013 under the CNCA. In other words they were never even under the CCA and cannot continue to the CNCA. Therefore, some of these notices may be sent to corporations that need to make changes, but others may be sent in error. You can check your status and under which act you are currently under at the Industry Canada website. It is easy and free.
September 17, 2014
I recently saw this notice from RBC to a client of theirs that the registered charity's banking services are at risk if they do not continue to the CNCA. RBC also wants copies of the continuance documents. Just a reminder that Federal non-profit corporations under the Canada Corporations Act need to continue to the Canada Not-for-profit Corporations Act.
August 19, 2014
Industry Canada has been warning Federal non-profits that are under the old Canada Corporations Act to continue. They are sending out with Annual Returns under the old act warnings to non-profits to continue or face dissolution.
August 18, 2014
As I have noted before I am concerned that many thousands of Federal non-profit corporations have not continued to the new CNCA and at some point after October 17, 2014 they will be dissolved by Industry Canada. That is a particular problem for registered charities in that CRA will eventually revoke the registered charities status of those charities.
August 12, 2014
The B.C. Ministry of Finance has released a White Paper which sets out policy recommendations and proposed draft legislation for a new and more modern "Society Act" in British Columbia, which governs not-for-profit organizations in B.C. The consultation process to amend the current legislation began in 2009.
August 06, 2014
I recently contacted Industry Canada and they advised that as of July 26, 2014 there have been 5,386 continuances to the new CNCA. As there are ostensibly 19,000 Federal corporations that are/were under the old Canada Corporations Act there appear to be a large number of organizations that still need to continue. For those who have not continued you may find this short webinar helpful.
July 06, 2014
In October 2013 there were only 1800 continuances according to Industry Canada from the old CCA to the new CNCA. That number has now jumped to 4175 corporations by May 31, 2014 and is probably higher over the last 5 weeks. That being said there are about 19,000 Federal corporations and many clearly need to continue or face dissolution after October 17, 2014. For registered charities dissolution will also eventually result in loss of registered charity status.
June 06, 2014
The Ontario Ministry has provided an update on their website with respect to the Not-for-Profit Corporations Act, 2010 ("ONCA") under 'ONCA: Frequently Asked Questions" which indicates that the ONCA is not expected to come into force before 2016. Initially there were discussions that the ONCA may come into force in 2015 but it appears that this is no longer the case.
May 30, 2014
On May 14, 2014, Alberta's Bill 12 - Statutes Amendment Act, 2014 received Royal Assent (it has not yet come into force). The Alberta Societies Act which governs many not-for-profit corporations in Alberta is one of the statutes that was amended as a result of the Bill. There has been a significant amendment to the Societies Act which allows for not-for-profit organizations incorporated in Alberta to continue to other jurisdictions (such as the Federal Canada Not-for-profit Corporations Act (CNCA)) and allows for those not-for-profit organizations incorporated in other jurisdictions to continue in Alberta.
May 06, 2014
Here is a blurb from the ONN May E-bulletin: "Just how many nonprofits?! It's amazing the number of calls and emails we received about this first-ever list of nonprofits in Ontario. What we know: there are 59,605 registered not-for-profit organizations in Ontario in this list, and likely more, including those registered nationally or in other provinces. While the list is not a searchable database yet, it's an important step forward, thanks to Mark Blumberg who got the list through Freedom of Information requests and made it public. ONN will continue to advocate for an online searchable database of registered nonprofits in Ontario- we hear you on how important this is for the sector-building and open data!"
May 03, 2014
The budget had a number of interesting proposals - perhaps my favourite was improving the pay of personal support workers (PSW). Many who even wanted an election liked some of the aspects of the budget and hopefully one day some of the proposals can be revisited. Some of the candidates views are night and day and I will let other hypothesize of the impact of different governments on society and the economy.
April 22, 2014
Here is a notice from Industry Canada that they are sending to federal non-profit corporations under the Canada Corporations Act.
April 10, 2014
Many Canadian non-profit corporations don't know about the Canada Not-for-profit Corporations Act (“CNCA”) which came into force in 2011 and requires that all existing Canada Corporations Act (CCA) non-profit corporations must transition to the CNCA by October 17, 2014. Corporations that do not make the transition by the deadline will be assumed to be inactive and will be dissolved by Corporations Canada. Industry Canada has indicated that the deadline will not be extended and that they will start sending out Notice of Pending Dissolution in October of 2014.
April 09, 2014
This Thursday, Bill 85 - An Act to amend various companies statutes and to amend other statutes consequential to the Not-for-Profit Corporations Act, 2010 will enter its Second Reading by the Ontario Legislature and then be referred to a Standing Committee. This Bill, which had its first reading on June 5, 2013, proposes some amendments to the Ontario Not-for-Profit Corporations Act ("ONCA"). This Bill is similar to the earlier version. There has been a significant delay of the implementation of ONCA and passing this Bill will be an important step in moving the process forward.
March 29, 2014
I have received some very positive feedback on the disclosure of the list of Ontario non-profit corporations. Here is the list.
March 13, 2014
As some people know October 17, 2014 is the deadline set for Canada Corporations Act (CCA) non-profit corporations to move over to the new CNCA or face potential dissolution. It will be 3 years from the date the CNCA came into force. Industry Canada has announced that they will start sending out notices after the October 17, 2014 deadline.
Do you require legal advice with respect to Canadian or Ontario non-profits or charities?
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