Operating standard—voting rule where equal representation applies
4.08 Operating standard—voting rule where equal representation applies
For the purposes of subsection 31(1) of the Act, the standard stated in subregulation (3) is applicable to the operation of standard employer‑sponsored funds that must comply:
under subsection 91(4) or 93(4) of the Act—with the basic equal representation rules; or
under subsection 90(3) of the Act—with either:
the basic equal representation rules; or
the alternative agreed representation rule set out in subsection 90(4) of the Act; or
under subsection 92(4) of the Act—with either:
the basic equal representation rules; or
the alternative agreed representation rule set out in subsection 92(5) of the Act.
Despite subregulation (1), the standard stated in subregulation (3) is not applicable:
to the operation of standard employer‑sponsored funds that comply with the alternative agreed representation rule set out in subsection 90(4) or 92(5) of the Act; or
to a decision of a delegate of the individual trustees or of the board of directors of the corporate trustee of the fund if the delegation was approved by at least two‑thirds of the total number of the trustees or directors.
A decision of:
the individual trustees of a fund; or
the board of directors of the corporate trustee of a fund;
must be taken not to have been made, or to be of no effect, if fewer than two‑thirds of the total number of the trustees or directors, as the case requires, voted for it.
This Act’s bill:Explanatory statement
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.