This material will shortly be available on our website (
www.russell-cooke.co.uk) together with an archive of past updates.
The topics covered this month are:
GOVERNANCE – CIO CONSULTATION
PROPERTY – FIRE SAFETY
EMPLOYMENT – HEYDAY CHALLENGE: RETIREMENT AGE OF 65 IS LAWFUL
GOVERNANCE – CIO CONSULTATION
The Charity Commission and Cabinet Office have published a joint response to the consultation on the new structure for charities, the Charitable Incorporated Organisation (CIO). As a result of the consultation, changes will be made to both the draft regulations and the model constitutions and these changes are expected to be finalised and published by the end of the year.
Changes to the initial proposals include:
- Removing a proposal that CIO trustees could in some circumstances take less responsibility for their charity’s activities and inserting a fixed duty of care as set out in the Charities Act 1993;
- Limiting access by the public in most circumstances to personal information in the registers of trustees and members that CIOs will have to maintain; and
- Replacing a number of minor criminal offences for administrative failings with powers for the Charity Commission including a power to direct that a particular register be brought up to date.
It is currently expected that this new structure will be available from late Spring 2010. Click Here for the response to the consultation.
For further information, please contact:
JAMES SINCLAIR TAYLOR on 020 8394 6480, James.Taylor@russell-cooke.co.uk or ANDREW STUDD on 020 8394 6414, Andrew.Studd@russell-cooke.co.uk
PROPERTY – Fire Safety
Charities should be reminded of the Regulatory Reform (Fire Safety) Order 2005.
The order, which applies to most types of property, abolished the previous requirement for a fire certificate. It effectively transferred responsibility for fire safety of premises from the fire authority to the owner or landlord of premises, or the employer. The responsible person must arrange for a fire risk assessment to be carried out, documented and acted on. Penalties for serious breaches of the order can extend to an unlimited fine or a prison sentence of up to two years. There have been a number of prosecutions under the order.
Charities which are landlords, employers, or run charity shops, hostels, residential care homes or provide sheltered accommodation, should ensure that they have carried out a risk assessment, and review it regularly, particularly if changes have been made to the premises. The assessment should be carried out by someone with appropriate qualifications and experience.
For further information, please contact:
PENNY SLATTER on 020 8394 6485, Penny.Slatter@russell-cooke.co.uk
EMPLOYMENT – Heyday challenge: Retirement age of 65 is lawful
The High Court has handed down its judgment in Age UK’s (formerly Heyday’s) challenge to the Government’s age discrimination legislation. The Employment Equality (Age) Regulations 2006 brought in a general prohibition on age discrimination. However, the Regulations provide for a retirement age of 65. After this age, employers can implement compulsory retirement, provided that certain procedural steps are carried out. Age UK challenged this on the basis that the Government had failed to correctly implement the European Directive on Equal Treatment. Age UK also challenged the direct discrimination provisions and the way in which employers are allowed to justify direct discrimination.
The Court held that the Government was motivated by social policy concerns and preserving labour market confidence was a legitimate reason for the designated retirement age (“DRA”). The retirement age was designed to give certainty to both employers and employees and allow for planning on both sides. The judge found that the adoption of a designated retirement age was proportionate but there were powerful arguments in favour of adopting a higher age such as 68 or 70. In particular, the judge noted that a higher retirement age would not have had any general detrimental labour market consequences or block access to high level jobs. However, the Government was entitled to a certain amount of discretion in selecting a retirement age and monitoring the impact of the DRA of 65. The court also noted that a retirement age of 70 had received little popular support from employers
during consultation. In light of the fact that the Government would soon be reviewing the retirement age, the DRA was held to be lawful.
This decision is positive news for employers facing challenges to compulsory retirement based on the Age UK’s challenge. However, the Government has announced that the review of the DRA will take place in 2010 and the Court’s comments on the justification for a DRA of 65 are likely to mean that the Regulations will be amended further. The retirement age looks set to rise with the Government’s plan to raise the state pension age to 68 by 2046 for men and 65 by 2020 for women and the Conservatives’ proposal to accelerate the increase.
R (on the application of Age UK) v the Secretary of State for Business, Innovation and Skills (2009) EWHC 2336 (Admin)
For further information, please contact:
DEBORAH NATHAN on 0208 394 6437, Deborah.Nathan@russell-cooke.co.uk
EVENTS
Programme of Evening Seminars 2009/2010
To see the full list of seminars please follow this link http://www.russell-cooke.co.uk/serv_c&o_charities_events.htm
Tuesday 3 November 2009
CHARITY LAW FOR SURVEYORS
A session for surveyors employed by or acting for charities and will include practical and legal guidance on:
• Who is your client (trusts, associations, companies, corporate trustees etc)?
• Section 36 disposal valuations: when does section 36 apply?
• What are your duties when instructed under section 36?
• What is the liability if things are not done as they should be?
• Other legal and management issues when acting for charities
Wednesday 18 November 2009
EMPLOYMENT LAW UPDATE 2009
This session will cover important employment law changes during 2009 including:
• The new ACAS code of practice on disciplinary and grievance procedures
• A discrimination law update
• Working time regulations
• A case law round–up
Tuesday 1 December 2009
WILLS AND LEGACY ISSUES FOR CHARITIES
For charities that receive legacies. This session will provide an overview of the law in this area and deal specifically with the following:
• The Register of Mergers at the Charity Commission
• Legacy issues: capacity/undue influence; formalities; practical issues including costs; and obligations under charity law
• Estate administration issues: how to remove an executor; and when to sue an executor
Wednesday 13 January 2010
NEGOTIATING A LEASE THAT SUITS YOU (FOR TENANTS)
If you are you a charity and considering taking a new lease (or renewing an existing lease), this session is for you. We will give you a number of valuable negotiating tips and demonstrate how you can:
• Take advantage of the current market conditions
• Get value for money
• Prevent unnecessary routine and unexpected costs
• Have the ability to release yourself from the lease if need be
• Avoid inconvenient restrictions in the lease
For booking information please contact: Janev Djemil on 020 8394 6372. Janev.Djemil@russell-cooke.co.uk
OTHER EVENTS
Russell-Cooke have teamed up with the Directory of Social Change to run a series of seminars on Employment legal issues for Charities
The Employment Law Club
Inaugural meeting: Thursday 19 March 2009 (next meeting Wednesday 11 November 2009)
Keep in the loop with access to the latest expertise
The employment law Group (ELG): the only one of its kind. The ELG is a brand new service provided by Directory of Social Change together with Russell Cooke LLP Solicitors. It is specially designed to provide up-to-date information for senior managers or HR professionals and anyone who is responsible for employment matters within their charity. The groups offers an annual subscription for members to meet five times a year for a half day workshop and networking lunch to obtain knowledge and discuss concerns around Employment Law issues together with a free initial telephone consultation with a specialist employment lawyer from Russell-Cooke.
For more information on the Employment Clubs please follow this link http://www.dsc.org.uk/Training/Law
The Charity Team
Russell-Cooke Solicitors
2 Putney Hill,
London
SW15 6AB
Tel: 020 8789 9111
www.russell-cooke.co.uk
This material does not give a full statement of the law. It is intended for guidance only, and is not a substitute for professional advice. No responsibility for loss occasioned as a result of any person acting or refraining from acting can be accepted by Russell-Cooke LLP.
Copyright: Russell-Cooke LLP, September 2009.
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