Talk:Wikimedia UK v1.0/Wikimedia and UK charity law
Add topicCharity Status?
[edit]Charitable status is extra work. But it seems worthwhile. I know of an organization in the the UK that is a Limited Company, a registered charity and has one "employee", although that person receives a small stipend and accommodation. Since the organization is in fact responsible for a building, the employee acts as manager of the building. LoopZilla 23:22, 22 August 2005 (UTC)
This is the case mentioned in the Charities Commission's website as "Company limited by guarantee" where the trustees are the "Board, council of management or directors". LoopZilla 23:27, 22 August 2005 (UTC)
Trustees
[edit]I believe that some of Trustess of a Charity can live outside the UK. Hence, could Angela be candidate for a trustee post? LoopZilla 09:07, 11 October 2005 (UTC)
If a trust then need to ensure a majority at all times UK resident; different rules apply to charitable unicorporated organisations and charitable companies. Dooley 04:03, 4 April 2006 (UTC)
Trustees and Members
[edit]We are moving towards an initial configuraton of 8 or so Trustees and mabe up to 20 Members. The members seem to carry the liability, in the some of 10 pounds. Trustees can be members of not, as they choose. The Trustees are responsible for the operation of the Charity (company). LoopZilla 13:25, 10 December 2005 (UTC)
- By "initial", Gordon, I think you don't mean at incorporation, but instead, shortly after - once the first directors (which is just another name for trustees here) co-opt additional directors and let in more members than the original members.
- Our draft AoA requires directors to also be members; although as a point of general law, you are right, we could remove that requirement - though as we've agreed the AoA except for final tweaks, I think it should stay (I would also argue that that requirement should stay anyway - why shouldn't we require directors to be members? Plus it would stop any possible disruptive members nominating non-members as directors), Jguk 20:00, 10 December 2005 (UTC)
I have some comments below re: idea that liability is limited to ten pounds. Dooley 04:14, 4 April 2006 (UTC)
Advance Clearance
[edit]When dealing with the Charity Commission previously they have indicated a willingness to take a look at memorandums and articles of association in advance. We may have already done so but if not would it be worth submitting this for clearance? In particular I am concerned to ensure that the charitable purposes as set out in the memorandum cover what we intend to do and that they fall within current understanding of educational purposes: this is not totally malleable - dear old George Bernard Shaw's phonetic alphabet was outside of charitable purposes so gifts made to the foundation to promote it had to be returned.
I really don't want to be alarmist in any way; this is a great project and I expect it to succeed. However although the directors received an indemnity from the charity under the articles:
- Indemnity 49 The Company shall indemnify every Director or other officer or auditor of the Company against any liability incurred by him or her in that capacity in defending any proceedings, whether civil or criminal, in which judgement is given in favour of the Director or in which the Director is acquitted or in connection with any application in which relief is granted to the Director by the court from liability for negligence, default, breach of duty or breach of trust in relation to the affairs of the Company
this indemnity is only as good as the charity backing it.
It is therefore important that adequate trustee protection (e.g. provision for the charity to pay for trustee indemnity insurance out of its own funds) is provided for in the articles. The charity commission does not generally allow such provisions to be retrospectively added. It could only take one claim, even if malicious and unproven, to scare directors away and make it difficult to find good people to run the UK project. Dooley 04:00, 4 April 2006 (UTC)
- The MoA has provision for the company to pay for such insurance (section 4, subsection xi). Andreww 16:32, 5 April 2006 (UTC)
Gift Aid/Charity Status
[edit]I didn't realise the creation of a chapter had got this far I was talking about this to my boss at work today, as I happen to work for HMRC. It would be excellent if we could claim gift aid.
Does the chapter even need paid employees? Having 'directors' and turning it in to a company and such seems to be going a bit over the top. The chapter could effectively be run in peoples own time rather than it being a full time occupation. Pigeonshouse 22:25, 30 August 2006 (UTC)