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Senior Partner
Senior Partner, Solicitor
Category: Law
Satisfied Customers: 13323
Experience:  Solicitor with more than 30 years experience
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Hello we are a am dram society run as accompany limited by

Customer Question

Hello
we are a am dram society run as accompany limited by guarantee and charity. There is an adult section and a youth section. The youth section has been run in parallel but has its own bank accounts but enjoys the advantages of charitable status and use of the building and facilities of the theatre. The Board of Directors have received complaints about how the acting leader of the youth section has been behaving and has made the decision to bring the governance of the youth section under the main Board of Directors. The Board have requested the accounts and cheque books of the youth section be handed over to the treasurer of the Board of Directors. The acting leader of the Youth section has refused and has notified the Board that the Youth section is in dispute with the Board of Directors. The Board wishes to suspend the youth section leader and freeze the bank accounts of the youth section until the matter is resolved - The Board do not with to involve the children of the youth section but the acting leader has called a meeting which includes children aged 9 and upwards which the Board considered totally inappropriate. How best do we proceed?
Submitted: 3 years ago.
Category: Law
Expert:  Senior Partner replied 3 years ago.
Hi thanks for your question. Is this person either an employee or a director?
Customer: replied 3 years ago.

No she is a member of the adult society and self appointed acting leader of the Youth section ( the leader of the youth section having resigned and the person in question was assistant leader). She stood down as a Director at the AGM in October so is now just a member of the society

Expert:  Senior Partner replied 3 years ago.
Ok thanks.

Clearly if there is a board of directors and this person is not on it, then she has no status within the organisation. So the board can tell the bank not to allow her to use the account an freeze it until the mandate is changed and someone else is appointed.

it cannot be right that she is involving the children in her dispute and if she is not an employee she has no rights other than as a member. I imagine the rules allow member to be suspended or banned. Even if they do not the board must have authority to suspend someone pending investigation.

So the board can tell her that she has no authority to act and ,if you wish, that she is barred from the society and is not permitted to use the society premises or equipment pending an investigation into her conduct. The "youth section " cannot be in dispute with the board. The board manage the company and it affairs and she has no authority other than as an individual member.

Everything should be put in writing. You need to appoint someone in her place and tell the members you have done so.

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