Commonwealth Numbered Acts

CONCILIATION AND ARBITRATION (ORGANIZATIONS) ACT 1974 No. 89 of 1974 - SECT 16

16. After Part IX of the Principal Act the following Part is inserted:-



"PART IXA-VALIDATING PROVISIONS FOR ORGANIZATIONS Definitions.

"171A. In this Part, unless the contrary intention appears-

'collective body' means-

   (a)  in relation to an organization-the committee of management or any
        conference, council, committee, panel or other body of or within the
        organization; and

   (b)  in relation to a branch of an organization-the committee of management
        or any conference, council, committee, panel or other body of or
        within the branch;

'invalidity' includes nullity and includes any invalidity or nullity resulting
from any omission, defect, error, irregularity or absence of quorum or caused
by the fact that-

   (a)  the members or one or more members of a collective body of an
        organization or branch of an organization, or the persons or one or
        more of the persons purporting to act as the members of such a
        collective body, or a person holding or purporting to hold an office
        or position in an organization or branch-

        (i)    have or has not been elected or appointed or duly elected or
               appointed;

        (ii)   have or has purported to be elected or appointed by an election
               or appointment that was a nullity;

        (iii)  were not or was not entitled to be elected or appointed;

        (iv)   were or was elected or appointed or purported to be elected or
               appointed where one or more or all of the persons who took part
               in the election or appointment or the purported election or
               appointment was or were not entitled to do so;

        (v)    were or was not a member of the organization; or

        (vi)   were or was elected or appointed or purported to be elected or
               appointed where one or more or all of the persons who took part
               in the election or appointment or the purported election or
               appointment was or were not members of the organization; or

   (b)  persons took part in the making or purported making or the alteration
        or purported alteration of the rules of an organization or branch, as
        officers or voters or otherwise, who were not entitled to do so or
        were not members of the organization,

and 'invalid' has a corresponding meaning. Validation of certain acts.

"171B. (1) Subject to this section and to section 171G, all acts done in good
faith by-

   (a)  a collective body of an organization or branch of an organization or
        by persons purporting to act as such a collective body; or

   (b)  a person holding or purporting to hold an office or position in an
        organization or branch, shall be valid notwithstanding any invalidity
        that may afterwards be discovered in-

   (c)  the election or appointment of the collective body or any member
        thereof or of the persons or any of the persons purporting to act as
        the collective body;

   (d)  the election or appointment of the person holding or purporting to
        hold the office or position; or

   (e)  the making or the alteration of a rule of the organization or branch.



"(2) For the purposes of this section-

   (a)  a person shall not be treated as purporting to act as a member of a
        collective body of an organization or as the holder of an office or
        position in an organization unless he has, in good faith, purported to
        be, and has been treated by officers or members of the organization as
        being, such a member or the holder of the office or position; and

   (b)  a person shall not be treated as purporting to act as a member of a
        collective body of a branch of an organization or as the holder of an
        office or position in the branch unless he has, in good faith,
        purported to be, and has been treated by officers or members of the
        branch as being, such a member or the holder of the office or
        position.



"(3) For the purposes of this section-

   (a)  an act is to be treated as done in good faith until the contrary is
        proved;

   (b)  a person who has purported to be a member of a collective body of an
        organization or branch is to be treated as having done so in good
        faith until the contrary is proved;

   (c)  knowledge of facts from which an invalidity arises is not of itself to
        be treated as knowledge that the invalidity exists;

   (d)  an invalidity in-

        (i)    the election or appointment of a collective body of a branch of
               an organization or any member of such a collective body;

        (ii)   the election or appointment of the persons or any of the
               persons purporting to act as a collective body of a branch;

        (iii)  the election or appointment of a person holding or purporting
               to hold an office or position in a branch; or

        (iv)   the making or the alteration of a rule of a branch,

shall not be treated as discovered before the earliest time proved to be a
time when the existence of the invalidity was known to a majority of the
members of the committee of management of the branch or to a majority of the
persons purporting to act as that committee of management; and

   (e)  an invalidity in any other election or appointment or in the making or
        alteration of a rule to which this section applies shall not be
        treated as discovered before the earliest time proved to be a time
        when the existence of the invalidity was known to a majority of the
        members of the committee of management of the organization or to a
        majority of the persons purporting to act as that committee of
        management.



"(4) This section applies-

   (a)  to an act whenever done, including an act done before the date of
        commencement of this section; and

   (b)  in relation to an organization which is an association-to an act done
        in or in connexion with the association before the date on which it
        was registered as an organization.



"(5) Nothing in this section affects the operation of Part IX.



"(6) Nothing in this section validates the expulsion or suspension of, or the
imposition of a fine or any other penalty upon, a member of an organization
which would not have been valid if this section had not been enacted. Court
may make orders in respect of consequences of invalidity.

"171C. (1) An organization, a member of an organization or any person having a
sufficient interest in respect of an organization may apply to the Court for a
determination of the question whether an invalidity has occurred in the
management or administration of the organization or of a branch of the
organization or in an election or appointment in, or the making or alteration
of the rules of, the organization or a branch of the organization and the
Court has jurisdiction to hear and determine the application and to make such
declaration as it thinks proper.



"(2) Where, in proceedings under sub-section (1), the Court finds that an
invalidity of the kind referred to in that sub-section has occurred, the
Court-

   (a)  may make such order as it thinks fit to rectify or cause to be
        rectified the invalidity, or to negative, modify or cause to be
        modified the consequences in law of the invalidity, or to validate any
        act, matter or thing rendered invalid by or as a result of the
        invalidity;

   (b)  shall, before making such order, satisfy itself that such an order
        would not do substantial injustice to the organization or to any
        member or creditor of the organization or to any person having
        dealings with the organization;

   (c)  where any such order is made, may give such ancillary or consequential
        directions as it thinks fit; and

   (d)  may determine what notice, summons or rule to show cause is to be
        given to other persons of the intention to make such an order, and
        whether and how it should be given or served and whether it should be
        advertised in any newspaper.



"(3) This section applies-

   (a)  to an invalidity whenever occurring, including an invalidity occurring
        before the date of commencement of this section; and

   (b)  in relation to an organization which is an association-to an
        invalidity occurring in or in connexion with the association before
        the date on which it was registered as an organization. Court may
        order reconstitution of branch, &c.

"171D. (1) An organization, a member of an organization or any person having a
sufficient interest in respect of an organization may apply to the Court for a
declaration that-

   (a)  a part of the organization, including-

        (i)    a branch or part of a branch of the organization; or

        (ii)   a collective body of the organization or of a branch of the
               organization,

has ceased to exist or to function effectively and there are no effective
means under the rules of the organization or branch by which it can be
reconstituted or enabled to function effectively; or

   (b)  an office or position in the organization or in a branch of the
        organization is vacant and there are no effective means under the
        rules of the organization or branch to fill the office or position,
        and the Court has jurisdiction to hear and determine the application
        and to make a declaration accordingly.



"(2) Where the Court makes a declaration under sub-section (1), the Court may,
by order, approve a scheme for the taking of action by a collective body of
the organization or of a branch of the organization or by an officer or
officers of the organization or of a branch of the organization for the
reconstitution of the branch or part of the branch, or of the collective body,
or to enable it to function effectively, or for the filling of the office or
position.



"(3) Before making an order under this section the Court shall satisfy itself
that the order would not do substantial injustice to the organization or to
any member of the organization.



"(4) Where any such order is made, the Court may give such ancillary or
consequential directions as it thinks fit.



"(5) An order or direction of the Court under this section, and any action
taken in accordance with such an order or direction, has effect
notwithstanding anything in the rules of the organization or of a branch of
the organization.



"(6) The Court may determine what notice, summons or rule to show cause is to
be given to other persons of the intention to make an application under this
section or of the intention to make an order under this section, and whether
and how it should be given or served and whether it should be advertised in
any newspaper. Application for membership of organization by person treated as
having been a member.

"171E. (1) Where a person, not being a member of the organization or a person
who has been expelled from the organization but being a person who is eligible
for membership, applies to be admitted as a member of an organization and has,
up to a time within 1 month before the application, acted in good faith as,
and been treated by the organization as, a member, he is entitled to be
admitted to membership and treated by the organization and its members as
though he had been a member during the whole of the time when he acted as and
was treated by the organization as a member and during the whole of the time
from the time of his application to the time of his admission.



"(2) Where a question or dispute arises as to the entitlement under this
section of a person to be admitted as a member and to be treated as though he
had been a member during the time referred to in sub-section (1), that person,
a person who is or desires to become the employer of that person or the
organization may apply to the Court for a declaration as to the entitlement of
that first-mentioned person under this section.



"(3) Subject to sub-section (5), the Court has jurisdiction to hear and
determine an application under sub-section (2) and may, notwithstanding
anything contained in the rules of the organization concerned, make such
orders (including mandatory injunctions) to give effect to its determination
as it thinks fit.



"(4) The orders which the Court may make under sub-section (3) include an
order requiring the organization concerned to treat a person to whom
sub-section (1) applies as being a member of the organization and as having
been a member during the time referred to in that sub- section.



"(5) Where an application is made to the Court under this section-

   (a)  if the application is made otherwise than by the person whose
        entitlement is in question-that person shall be given an opportunity
        of being heard by the Court; and

   (b)  if the application is made otherwise than by the organization
        concerned-the organization shall be given an opportunity of being
        heard by the Court. Validation of certain acts.

"171F. (1) Subject to this section and to section 171G, upon the expiration of
4 years from-

   (a)  the doing of an act-

        (i)    by, or by persons purporting to act as, a collective body of an
               organization or branch of an organization and purporting to
               exercise power conferred by or under the rules of the
               organization or branch; or

        (ii)   by a person holding or purporting to hold an office or position
               in an organization or branch and purporting to exercise power
               conferred by or under the rules of the organization or branch;

   (b)  the election or purported election or the appointment or purported
        appointment of a person to an office or position in an organization or
        branch; or

   (c)  the making or purported making or the alteration or purported
        alteration of a rule of an organization or branch, the act, election,
        purported election, appointment or purported appointment, or the
        making or purported making or alteration or purported alteration of
        the rule shall, for all purposes, be deemed to have been done in
        compliance with the rules of the organization or branch.



"(2) The operation of this section shall not affect the validity or operation
of any order, judgment, decree, declaration, direction, verdict, sentence,
decision or similar judicial act of the Court or any other court made before
the expiration of the 4 years referred to in sub-section (1).



"(3) This section extends to an act, election, purported election, appointment
or purported appointment, and to the making or purported making or alteration
or purported alteration of a rule-

   (a)  done or occurring before the date of commencement of this section; or

   (b)  in relation to an organization which is an association-done or
        occurring in or in connexion with the association before the date on
        which it was registered as an organization. Order affecting
        application of section 171B or 171F.

"171G. (1) Where, upon an application for an order under this section, the
Court is satisfied that the application of section 171B or section 171F to an
act would do substantial injustice having regard to the interests of the
organization, members or creditors of the organization or persons having
dealings with the organization, the Court shall, by order, declare accordingly
and, where such a declaration is made, section 171B or section 171F, as the
case may be, does not apply, and shall be deemed not to have applied, in
relation to the act referred to in the declaration.



"(2) The Court may make an order under sub-section (1) on the application of
the organization, a member of the organization or any person having a
sufficient interest in respect of the organization.



"(3) The Court may determine what notice, summons or rule to show cause is to
be given to other persons of the intention to make any such application or of
the intention to make such an order, and whether and how it should be given or
served and whether it should be advertised in any newspaper.



"(4) A reference in this section to an act shall be read as including a
reference to an election, purported election, appointment or purported
appointment, and to the making or purported making or alteration or purported
alteration of a rule.".
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