What are some examples of fiduciary responsibilities?
Just like any company, incorporated community groups are subject to the law. These take various forms but there are responsibilities for directors at both commonwealth and state level. If there are breaches of these laws, financial and other penalties can be leveled against the organisation and directors may also be held personally liable. If community groups or associations register to be incorporated, then there are certain legal advantages providing the group accepts certain legal responsibilities. Incorporation is a system of state or territory government registration. It is voluntary and enables registered groups to be recognised as a separate entity to its members. It therefore offers some protection for those in decision-making roles from any debts or liabilities sustained by the group. Although to be protected as an incorporated association, the organisation must not make a profit for its members – a surplus is allowable but that surplus should not be able to be disbursed to an
