Keeping Up With Virtual Meetings

Are they allowed or aren’t they??It’s been quite a journey through the various proposals and interim measures but finally the Corporations Act has been amended permanently to allow wholly virtual meetings, electronic notices of meetings and other related documents.?These permanent provisions* replace the interim COVID-19 measures that are due to expire on 30 June 2022.

What you need to know:

• from now until 30 June 2022, companies can rely on the interim provisions to hold wholly virtual meetings?only if?the directors pass a resolution stating that it is unreasonable for the company to hold a members’ meeting wholly or partially at one or more physical venues, due to the impact of COVID-19;
• ?from 1 July 2022,?companies can hold wholly virtual meetings?only if?permitted to do so under their constitution, meaning those that haven’t already will need to adopt amendments to their constitution pursuant to a resolution of members passed by way of:
• ?general meeting (before 30 June 2022?for public companies that wish to adopt the amendments to the constitution by a wholly virtual general meeting); or
• ?circular resolution (this option is not available to public companies).

There is a chance that the ‘not so permanent’ provisions* allowing virtual meetings will cease to have effect if an independent review panel can’t jump through certain hoops by April 2024, but more on that to come in 2024!

*?Ok if you are the kind of person looking for this detail, here is the relevant legislation:?Corporations Amendment (Meetings and Documents) Bill 2021.

Questions? Give us a call.