Committee liability issues

[Guest Petemartin]

Hi all,

 

Many of us are members of clubs, an in particular, Aero Clubs, of one sort or another.

 

I'm looking for examples where committee members / office bearers have been open to liability issues as a consequence of them being on the committee of a club.

 

For example, stories are bandied around about 'committee members' losing their homes because of things that have happened within the club, yet I've never heard of any specific examples.

 

Anyone?

 

 

[Ben Longden]

Provided the club is an incorporated body, the board memberswill be individually immune from the financial collapse of the club.

 

However, if it is an OH&S related issue, then its my understanding that the board, and in particular, the president will be personally open to action.

 

Most organisations appoint an OH&S rep, to ensure things are done by the book, so that if an incident occurs (such as a little old lady falling over on the front step, and breaking a hip), the courts would be more than satisfied that the club had taken all reasonable precautions.

 

Still, its a bloody nightmare in this increasingly litiguous society of ours.

 

Anyone??

 

Ben

 

 

[Guest Fred Bear]

As much as it sounds like a great idea that you can't be held responsible because the club is an incorporated body, it's a bit hard for one to believe that a committee might be exempt. As the previous poster has suggested OH&S is an example. Thinking back to my OH&S course earlier this year, if the employer fails to provide a safe work-place, they are liable and this extends to employees such as managers and line managers. In my workplace nobody is exempt and as an OH&S rep I have to enforce this where necessary. In a situation where a committee allowed an "offence" to take place I see no reason why they would be guilt free of negligence for example and it would not be hard to prove any number of occurences or issues as negligent.

 

Just my 2 cents worth. Oh and just because it may not have happenedbefore, doesn't mean that it won't ever happen!

 

 

[Guest micgrace]

Hi

 

Thought I might add my 2 cents worth on club litigation.

 

Incorporation only protects you in the event of insolvency. You can be held liabile (criminally) if you had control and either chose to ignore or otherwise the responsibilities of your office.

 

Insurance policies are available for personal indemnity and might be well worth having. But they are somewhat expensive. This should be provided by the club. Ours for instantce costs $8,800 a year (finance)

 

Micgrace