The Federal Government has released the draft legislation, namely the Treasury Laws Amendment (measure for a later sitting) Bill 2021: Use of technology for meetings and related amendments.
This amendment seeks to provide relief by allowing companies and registered schemes to hold hybrid meetings, use technology to execute company documents, sign meeting-related documents, and provide those documents to their members. Shareholders will also be given the option of attending hybrid meetings either in-person or remotely.
To summarise, the Bill applies to the:
- Signing of certain documents (including deeds) by or on behalf of a company; and
- Signing of documents which relate to certain corporate meetings or resolutions.
The amendments also seek to extend the statutory document execution mechanisms to proprietary companies with a sole director and no company secretary.
The aim of the Bill is to provide greater flexibility for companies and registered schemes to facilitate official hybrid meetings (or wholly virtual if the company’s constitution permits) and digital signing of documents, to make hybrid or virtual meetings, as well as document signing, easier and more cost-effective.
The consultation period for submissions runs until today, 10 September 2021.
GRT Lawyers’ Glenn Vassallo (Managing Director) and Scott Standen (Director) can assist you with any queries in relation to your corporate legal requirements.