Re-register it, before you re-gret it – why incorporated societies must act now
The Incorporated Societies Act 2022 represents a significant overhaul of the legal framework governing incorporated societies in New Zealand. The new Act introduces fresh governance standards, clearer responsibilities, and a modern framework designed to protect your society and its members.
With the re-registration deadline approaching, it\'s crucial for societies to understand the new requirements and take proactive steps to ensure compliance.
Failure to act now means there is a very real risk that your society will cease to exist come April 2026.
1. A new constitution
As a minimum requirement, most societies will need to adopt a new constitution in order to re-register. Societies are now required to have a constitution that complies with the new Act. This includes specifying the society’s purpose, membership criteria, dispute resolution processes, and procedures for general meetings and decision-making.
2. Re-registration
The new Act comes with a critical deadline: all existing incorporated societies must re-register by 5 April 2026.
Failure to do so will mean your society will cease to exist and there will be serious consequences, including:
The inability to deal with your society’s assets.
The inability for your society to operate.
Your members will lose the protection from personal liability offered by the 1908 Act, exposing them to potentially serious personal risk.
Jeopardizing existing arrangements and contracts with third parties, and risking your society’s reputation.
Re-registration isn’t just a formality - it’s a fresh start
Think of re-registration as hitting the reset button, while ensuring that your organization remains legally recognised and capable of continuing its work:
Stay in business: Re-registering guarantees your society’s ongoing ability to hold assets, enter contracts, and deliver on its purpose.
Embrace modern governance: The new law encourages transparent, accountable leadership. It’s an opportunity to review your rules, define officer duties more clearly, and adopt best practices.
Protect your officers: Officers will have new duties and liabilities - being prepared now can prevent future headaches.
Opportunities for growth: This is a perfect time to reassess your organisation’s goals and structure - perhaps an alternative structure, like a charitable trust, suits your organisation better.
How to re-register - and why it’s easier than you think
The government has simplified the process. A straightforward online form requires your society’s details - such as your new registration number, address, officer list, and updated constitution. It’s designed to be fee-free and accessible.
However, this isn’t just about ticking boxes. Your society’s name, purpose, or rules must meet specific requirements, and any non-compliance could cause delays or rejection. Starting the process early means fewer surprises and plenty of time to make necessary adjustments.
3. Other key steps your society should take now
Review your membership: The minimum number of members has been reduced from 15 to 10. Societies must maintain at least 10 members at all times, and each new member must consent in writing to join.
Assess committee and officer eligibility: Every society must have a committee of at least three officers. Officers must consent in writing and must not be disqualified (e.g. undischarged bankrupts or individuals convicted of serious offences). The Act codifies officer duties, including acting in good faith, exercising powers for proper purposes, and avoiding activities that could seriously harm creditors.
Prepare for financial reporting changes: Societies must prepare annual financial statements that comply with generally accepted accounting practices (GAAP). Larger societies must have their financial statements audited. A society is considered small and can continue its current reporting practices if it meets certain criteria, such as spending less than $50,000 in each of the two preceding financial years.
Implement dispute resolution procedures: Develop and document clear procedures for resolving disputes among members. The Act has minimum dispute resolution requirements which must be documented in the constitution and be consistent with the rules of natural justice.
Don’t leave your society’s future to chance - take action today!
The message is clear: act now before the April 2026 deadline. Re-registration is your guarantee that your society continues to serve its community and fulfil its mission.
How Holland Beckett can assist
Navigating the complexities of the Incorporated Societies Act 2022 can be challenging. Our legal services are here to support your society through the re-registration process and beyond. We offer:
Constitution review and drafting: Ensuring your constitution complies with the new Act and reflects your society\'s needs.
Officer and committee guidance: Assisting in assessing eligibility and understanding duties under the new Act.
Financial reporting advice: Providing guidance on meeting new financial reporting and auditing requirements.
Dispute resolution strategy: Helping develop and implement effective dispute resolution procedures.
Contact us today to ensure your society remains compliant and continues to operate smoothly under the new legal framework.