Holding Annual General Meetings (AGMs) during COVID-19 restrictions
On the weekend ASIC released guidelines for upcoming AGM requirements as companies are impacted by social distancing requirements in response to COVID-19.
ASIC has confirmed that it will take no action against entities with 31 December balance dates provided they hold an AGM by the end of July 2020 – this two month extension period will remain under review.
ASIC also emphasized that companies should consider holding a ‘hybrid’ or ‘virtual’ AGM that facilitates electronic participation and voting by proxy. These are alternatives suited to the directions from state authorities restricting gatherings and encouraging social distancing.
For incorporated Associations, Consumer Affairs in Victoria has also indicated they will not be penalising associations that fail to have their AGM in accordance with the timeframes of the legislation due to COVID-19 restrictions.
For further information or advice, please contact:
Rod Payne
Principal
T: 03 5226 8541
E: rpayne@ha.legal
Paul Gray
Principal
T: 03 5225 5231
E: pgray@ha.legal