Effect of ratification by members (cf Corporations Act s 239)
582 Effect of ratification by members (cf Corporations Act s 239)
A ratification or approval of conduct by members of a co-operative—
does not prevent a person from bringing or intervening in proceedings with leave under section 580 or from applying for leave under that section; and
does not have the effect that proceedings brought or intervened in with leave under section 580 must be decided in favour of the defendant, or that an application for leave under that section must be refused.
The Supreme Court may take into account a ratification or an approval of the conduct by members of a co-operative in deciding what order or judgment (including as to damages) to make in proceedings brought or intervened in with leave under section 580 or in relation to an application for leave under that section.
In taking a ratification or approval into account under subsection (2), the Supreme Court may have regard to—
how well informed about the conduct the members were when deciding whether to ratify or approve the conduct; and
whether the members who ratified or approved the conduct were acting for proper purposes.
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.