Permanent Changes to Virtual Meetings and Electronic Communications
In summary
From 1 April 2022 companies and registered schemes can hold hybrid meetings and utilise technology neutral communication options for related documentation.
The Corporations Amendment (Meetings and Documents) Bill 2021 received royal assent on 22 February 2022 after previously being passed by the House of Representatives last November.
The Bill amends the Corporations Act 2001 to establish a permanent mechanism to allow companies and registered schemes to hold hybrid (in person and remote) meetings and to use technology to execute, sign and share company and meeting related documents.
The Act will commence on 1 April 2022 (when the temporary COVID relief regulations expire).
Recommendation
The amendments to the Act now allow entities to hold wholly virtual meetings on a permanent basis as long as the entity is expressly permitted to do so under their constitution.
If any entity has previously updated their constitution to allow for wholly virtual meetings to be conducted then they can continue to hold virtual meetings and utilise electronic communications to send meeting materials and execute corporate agreements, as has been done under the temporary COVID relief regulations.
To ensure compliance, all entities should review their constitution to see if they are aligned to the new legislation requirements. It’s important to complete this review prior to dispatching a Notice of Annual General Meeting so the resolution to change the constitution can be included.
Contact the Company Secretarial team at Automic Group if you require any support in completing this review prior to your 2022 AGM.
With integrated technology and services, Automic Group can support you with your 2022 AGM whether it be virtual, hybrid or in person. Learn more here or request to be contacted.
