The Ontario government introduced Bill 65, Not-for-Profit Corporations Act (Ontario), 2010.  This act will replace the Ontario Corporations Act which deals with non-profit corporations.  The bill passed first reading today.  Some of the bullet points sound interesting – will have to review the bill.  Here is a copy of the bill:  Bill_65,_Not-for-Profit_Corporations_Act_(Ontario),_2010.pdf
Here are some of my updates on the Ontario Not-For-Profit Corporations Act and the federal Canada Non-Profit Corporations Act (CNCA)
May 12, 2010 3:30 PM

McGuinty Government Introduces Not-For-Profit Corporations Act
Ontario is taking action to make it easier for not-for-profit corporations to operate and do business in today’s marketplace while strengthening the economy and creating jobs.

Ontario’s not-for-profit sector employs about 16 per cent of all employed Ontarians and generates nearly $50 billion in annual revenues. The province’s proposed Not-for-Profit Corporations Act would, if passed, provide Ontario’s 46,000 not-for-profit corporations with a modern, legal framework to:

?enhance corporate governance and accountability
?simplify the incorporation process

?give more rights to members

?better protect directors and officers from personal liability.
The proposed changes are based on extensive consultations across the province. This includes three consultation papers, a web advisory panel and regional workshops in Ottawa, London, Toronto and Thunder Bay attended by more than 200 organizations.

Supporting Ontario’s non-profit organizations is an important part of the government’s Open Ontario plan to grow key sectors of the economy and create a climate where business can thrive.

The current Corporations Act was enacted in 1907 and last updated in 1953.
Almost 8 million people volunteer for not-for-profits in communities across Ontario.

Ontario’s Not-For-Profit Corporations Act
May 12, 2010 3:20 PM

The proposed Not-for-Profit Corporations Act would provide a modern legal framework that addresses the needs of today’s not-for-profit corporations in Ontario.

Main highlights of Ontario’s proposed Not-for-Profit Corporations Act:

?Simplifying the incorporation process. The current incorporation process is complex and lengthy, normally taking six to eight weeks to incorporate. Under the new Act, incorporation could take only a few days.
?Enhancing corporate governance and accountability by providing a statutory duty of care for directors; and, at the same time, providing specific protection from liability for directors.
?Allowing not-for-profit corporations to engage in commercial activities where the revenues are reinvested in the corporation’s not-for-profit purposes.
?Providing for a less expensive review engagement or audit exemption in appropriate circumstances.
?Harmonizing with other Canadian jurisdictions that have modern legislation, such as the Canada Not-for-Profit Corporations Act which received Royal Assent on June 23, 2009 and the Saskatchewan Non-profit Corporations Act, 1995.
?Enhancing member democracy by expanding member remedies to ensure directors are acting in the corporation’s best interests.
?Increasing transparency for financial information, access to records and when disciplinary action is contemplated against a member.
?Providing directors and officers better protection from personal liability.


The Ministry of Consumer Services undertook extensive stakeholder consultations throughout the development of the proposed Act. Three consultation papers were developed to solicit opinions and regional workshops were held in Ottawa, London, Toronto and Thunder Bay attended by stakeholders from approximately 200 organizations. The Ministry also formed a web advisory panel to engage in online consultation with key stakeholders on preliminary policy recommendations.

Government’s Commitment

The proposed Not-for-Profit Corporations Act would, if passed, meet the government’s commitment to business law modernization. It would also support:

?Open for Business by streamlining operational and administrative requirements and improving the processing efficiency of applications.
?Ontario’s Poverty Reduction Strategy by facilitating the operations of not-for-profit corporations focused on improving housing, education, food and employment assistance.

Here are the acts affected by Bill 65:

AgriCorp Act, 1996
Child and Family Services Act
Collection Agencies Act
Commitment to the Future of Medicare Act, 2004
Community Care Access Corporations Act, 2001
Corporations Act
Developmental Services Act
Early Childhood Educators Act, 2007
Elderly Persons Centres Act
Electricity Act, 1998
Employment Standards Act, 2000
Farm Products Marketing Act
Farm Products Payments Act
Fire Protection and Prevention Act, 1997
Health Protection and Promotion Act
Home Care and Community Services Act, 1994
Independent Health Facilities Act
Local Health System Integration Act, 2006
Long-Term Care Act, 1994
Long-Term Care Homes Act, 2007
Ministry of Agriculture, Food and Rural Affairs Act
Ontario Agency for Health Protection and Promotion Act, 2007
Payday Loans Act, 2008
Private Hospitals Act
Public Hospitals Act
Regulated Health Professions Act, 1991
Services and Supports to Promote the Social Inclusion of Persons with Developmental Disabilities Act, 2008
Shortline Railways Act, 1995
Social Work and Social Service Work Act, 1998
Technical Standards and Safety Act, 2000
Trillium Gift of Life Network Act
Workplace Safety and Insurance Act, 1997