The provisions of the Act which came into operation on 21 August 2020 will apply for an “interim period” expiring in June 2021 which term may be extended.

The main provisions of the Act can be broadly summarised as follows:

  • allow companies to postpone AGMs until 31 December 2020
  • provide that both general and creditors’ meetings may be held virtually
  • allow documents which are required to be executed under seal to be executed in counterpart
  • increase the amount at which a statutory demand can be issued from €10/20k to €50k
  • extend the examinership process to a total of 150 days (subject to court approval)
  • provide the Minister with regulation making power in respect of extending the interim period and amending the operational detail of hybrid and virtual general meetings

The main provisions in relation to co-operatives include:

  • provide for a deferral of the annual general meeting until 31 December 2020
  • provide that a general meeting may be held as a hybrid general meeting (a meeting where some of the members attend at the venue or venues specified in the notice of the meeting while others may participate by electronic means) or a fully virtual general meeting
  • provide the Minister with regulation making power in respect of extending the interim period and amending the operational detail of hybrid and virtual general meetings

As a result of previous amendments to the Industrial and Provident Societies Acts in 1978 and 2014, the company law proposals on examinership and creditors meetings automatically apply to co-operatives.

To read the full Act click here

We can help you with COVID-19 Coronavirus company law issues

If you have a query about Changes to the Companies Act 2014, or would like to know more, please contact Teresa Murphy by emailing tm@odbsolicitors.ie

Disclaimer: The information on the O’Donovan Baker website is for general information only and reflects the position at the date of publication. It does not constitute legal advice and should not be treated as such. If you would like to ensure the commentary reflects current legislation, case law or best practice, please contact the blog author.