{"id":"C2013A00056","name":"Not-for-profit Sector Freedom to Advocate Act 2013","slug":"not-for-profit-sector-freedom-to-advocate-act-2013","collection":"act","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":"56 of 2013","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":8513,"registerId":"commonwealth-C2013A00056-current","compilationNumber":null,"startDate":"2026-03-30","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Not-for-profit Sector Freedom to Advocate Act 2013","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\n---\n\n?xml version=\"1.0\" encoding=\"utf-8\" standalone=\"no\"?>\n\n![](image.001.png)\n\n \n\n \n\n \n\n \n\n \n\n \n\nNot‑for‑profit Sector Freedom to Advocate Act 2013\n\n \n\nNo. 56, 2013\n\n \n\n \n\n \n\n \n\n \n\nAn Act to prohibit Commonwealth agreements from restricting or preventing not‑for‑profit entities from commenting on, advocating support for or opposing changes to Commonwealth law, policy or practice, and for related purposes\n\n \n\n \n\n \n\nContents\n\n1 Short title\n\n2 Commencement\n\n3 Definitions\n\n4 Agency not to include prohibited content in Commonwealth agreement\n\n5 Prohibited content\n\n6 Compensation for acquisition of property\n\n7 Application\n\n \n\n![](image.001.png)\n\n \n\n \n\nNot-for-profit Sector Freedom to Advocate Act 2013\n\nNo. 56, 2013\n\n \n\n \n\n \n\nAn Act to prohibit Commonwealth agreements from restricting or preventing not‑for‑profit entities from commenting on, advocating support for or opposing changes to Commonwealth law, policy or practice, and for related purposes\n\n[Assented to 13 June 2013]\n\nThe Parliament of Australia enacts:\n\n1  Short title\n\n  This Act may be cited as the Not‑for‑profit Sector Freedom to Advocate Act 2013.\n\n2  Commencement\n\n  This Act commences on the day after this Act receives the Royal Assent.\n\n3  Definitions\n\n  In this Act:\n\nagency means an entity mentioned in paragraph (a), (b), (c), (d), (e), (f) or (h) of the definition of agency in subsection 6(1) of the Privacy Act 1988.\n\nCommonwealth agreement means a legally binding agreement between an agency (on behalf of the Commonwealth) and a not‑for‑profit entity.\n\nconfidential information means information, the disclosure of which:\n\n (a) would found an action for breach of confidence; or\n\n (b) would disclose:\n\n (i) trade secrets; or\n\n (ii) any other information having a commercial value that would be, or could reasonably be expected to be, destroyed or diminished if the information were disclosed; or\n\n (c) would be a disclosure of information likely to prejudice national security (within the meaning of subsection 17(1) of the National Security Information (Criminal and Civil Proceedings) Act 2004).\n\nnot‑for‑profit entity means:\n\n (a) an entity that is entitled to be registered under the Australian Charities and Not‑for‑profits Commission Act 2012; or\n\n (b) a non‑profit body (within the meaning of the Electronic Transactions Act 1999).\n\nprohibited content has the meaning given by section 5.\n\n4  Agency not to include prohibited content in Commonwealth agreement\n\n (1) An agency must not include prohibited content in a Commonwealth agreement.\n\n (2) If, apart from this subsection, a Commonwealth agreement includes prohibited content, that prohibited content is void.\n\n5  Prohibited content\n\n (1) Prohibited content is any requirement that restricts or prevents a not‑for profit entity (including staff of the not‑for‑profit entity) from commenting on, advocating support for or opposing a change to any matter established by law, policy or practice of the Commonwealth.\n\n (2) However, the requirement is not prohibited content to the extent that it restricts or prevents a not‑for profit entity from disclosing information that:\n\n (a) is confidential information; or\n\n (b) is personal information (within the meaning of the Privacy Act 1988).\n\n6  Compensation for acquisition of property\n\n (1) If the operation of this Act would result in an acquisition of property from a person otherwise than on just terms, the Commonwealth is liable to pay a reasonable amount of compensation to the person.\n\n (2) If the Commonwealth and the person do not agree on the amount of the compensation, the person may institute proceedings in the Federal Court of Australia for the recovery from the Commonwealth of such reasonable amount of compensation as the Court determines.\n\n (3) In this section:\n\nacquisition of property has the same meaning as in paragraph 51(xxxi) of the Constitution.\n\njust terms has the same meaning as in paragraph 51(xxxi) of the Constitution.\n\n7  Application\n\n (1) This Act applies to a Commonwealth agreement entered into before, on or after the commencement of this Act.\n\n (2) Despite subsection (1), subsection 4(1) applies to a Commonwealth agreement entered into on or after the commencement of this Act.\n\n (3) Subsection (4) applies if, immediately before the commencement of this Act, a Commonwealth agreement includes prohibited content.\n\n (4) Despite subsection (1):\n\n (a) subsection 4(2) has the effect that prohibited content in the Commonwealth agreement becomes void on the commencement of this Act; and\n\n (b) paragraph (a) does not affect any right, privilege, obligation or liability acquired, accrued or incurred under the prohibited content before the commencement of this Act.\n\n \n\n \n\n[Minister’s second reading speech made in—\n\nSenate on 13 March 2013\n\nHouse of Representatives on 28 May 2013]\n\n \n\n(49/13)\n\n \n","sortOrder":0}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":false,"description":"The Act is narrowly focused on preventing Commonwealth agencies from inserting contractual restrictions on advocacy by covered not‑for‑profit entities and contains limited, explicit carve‑outs (confidential/personal information) and transitional rules for existing agreements (s4–7). It does not materially expand beyond that objective: it only changes the enforceability of particular contractual terms with agencies, preserves agency discretion to refuse funding, and provides a compensation mechanism for constitutional acquisition issues (s6). There is no text in this version that substantially broadens the subject matter beyond the Act’s stated purpose."},"complexity_factors":["Short statute (7 sections) with a single core prohibition (s4–5)","Cross‑references to multiple external statutes for definitions: Privacy Act 1988 (agency, personal information), Australian Charities and Not‑for‑profits Commission Act 2012, Electronic Transactions Act 1999","A single, narrowly worded carve‑out for confidential and personal information (s5(2))","Retroactive effect on existing agreements with a savings clause for accrued rights (s7(1)–(4))","Constitutional overlay: compensation mechanism for acquisition of property referencing s51(xxxi) and Federal Court jurisdiction (s6)","Potential interpretive uncertainty in the scope of protected speech ('commenting on, advocating support for or opposing a change') which may trigger litigation"],"plain_english_summary":"**What this law does (mechanics)\n\n- Prohibits Commonwealth agencies from putting into legally binding agreements any clause that stops or limits a not‑for‑profit organisation (or its staff) from commenting on, supporting or opposing changes to Commonwealth law, policy or practice (see s4 and s5).\n- If an agreement nevertheless contains such a clause, that part of the agreement is automatically void (s4(2)).\n- The prohibition does not apply to clauses that stop disclosure of confidential information (defined to include trade secrets and information whose disclosure would found an action for breach of confidence) or personal information as defined in the Privacy Act 1988 (s5(2) and the definition of confidential information in s3).\n- The Act applies to agreements made before, on or after it starts, and it makes prohibited clauses in existing agreements void on commencement while preserving rights or liabilities already accrued under those clauses (s7(1)–(4)).\n- If the operation of the Act causes an acquisition of property otherwise than on just terms (a constitutional protection), the Commonwealth must pay reasonable compensation; disputes go to the Federal Court (s6).\n\nWho is covered and how key terms are defined\n\n- 'Agency' is defined by reference to the Privacy Act 1988 (s3). That means Commonwealth departments and certain Commonwealth-controlled bodies are captured.\n- 'Not‑for‑profit entity' is an entity entitled to register under the Australian Charities and Not‑for‑profits Commission Act 2012 or a non‑profit body under the Electronic Transactions Act 1999 (s3).\n- 'Confidential information' and 'personal information' are carved out (s3, s5(2)).\n\nWhy the measure exists (official claim) and the practical consequences\n\n- The Act’s stated purpose is to stop the Commonwealth using contracts to silence or limit the advocacy activities of not‑for‑profit organisations. That is the policy claim underlying the statutory ban (see the Act’s long title and s4–5).\n- Mechanically, the law strips enforceability from contractual restrictions on advocacy between agencies and covered not‑for‑profits (s4(2)). That shifts bargaining power: not‑for‑profits keep legal freedom to speak about Commonwealth law and policy even where they have a funded or contractual relationship with an agency.\n\nCosts, incentives and trade‑offs (practical effects and implementation issues)\n\n- Who pays: The Commonwealth bears potential compensation costs if the Act causes a constitutionally actionable acquisition of property (s6). It also bears indirect costs in lost contractual controls it previously could exercise.\n- Who decides and how behaviour changes: Agencies must stop inserting speech‑restricting clauses into agreements (s4(1)). Not‑for‑profits gain the legal right to comment on Commonwealth matters despite contractual ties; agencies retain the choice whether to fund or contract with particular organisations but cannot rely on gag clauses in the contract to limit advocacy (s4, s7).\n- Substitution effects: Agencies may respond by using non‑contractual selection criteria, conditional funding decisions, performance standards, or administrative oversight to influence behaviour. The Act does not prevent the Commonwealth from declining to enter an agreement with an organisation whose advocacy it dislikes; it only voids contractual restrictions.\n- Compliance and interpretation risks: The key phrase 'commenting on, advocating support for or opposing a change' may be litigated for scope (types of expression covered, e.g. private advice vs public campaigning). Agencies might try narrower drafting to achieve similar ends, producing litigation over form vs substance (s5).\n- Confidentiality and privacy: The Act preserves the Commonwealth’s ability to protect genuinely confidential or personal information through contractual clauses (s5(2) and s3). That reduces—but does not eliminate—concerns about protecting commercially sensitive material, legal privilege or national security material (s3(c)(ii) and reference to the National Security Information Act).\n- Administrative burden and discretion: There is no civil or criminal penalty scheme in the Act for agencies that include prohibited content; the remedy is voiding of the clause (s4(2)). This relies on agency compliance or challenge by contracting parties; practical enforcement may therefore be reactive and litigation‑driven.\n\nEffects on private actors and markets\n\n- Not‑for‑profits: Gain clearer contractual freedom to engage in public advocacy on Commonwealth matters, including staff speech, subject to the Act’s confidentiality and privacy carve‑outs (s5).\n- Private sector and competition: The Act targets only relationships between agencies and not‑for‑profits; it does not directly regulate private commercial contracts. However, where charities deliver services in markets that include for‑profit providers, the change may alter competitive dynamics if advocacy activities affect reputation, advocacy‑related funding decisions, or public procurement choices.\n\nNet practical summary\n\n- Mechanically, the Act removes the enforceability of contract clauses that silence not‑for‑profits in dealings with Commonwealth agencies, while protecting confidentiality and privacy and allowing compensation claims if a constitutional acquisition occurs (s4–7). Agencies still choose whether to enter agreements; not‑for‑profits keep the legal freedom to speak on Commonwealth law, policy or practice.\n\n(References: s3 definitions; s4–5 prohibition and exceptions; s6 compensation; s7 application and transitional effects.)"},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"The legislation remains tightly focused on its original purpose: prohibiting gag clauses in Commonwealth agreements with not-for-profit entities. The scope has not expanded beyond this core objective."},"complexity_factors":["Very short statute — only 7 sections","Minimal defined terms (5 definitions in section 3, plus 2 in section 6)","Simple conditional structure — one main prohibition with two straightforward exceptions (confidential information and personal information)","No nested exceptions or complex cross-referencing beyond standard references to other Acts for definitions","Clear application provisions with only basic temporal distinctions (before/after commencement)","Standard constitutional safeguard section (section 6) for property acquisition — boilerplate language"],"plain_english_summary":"This law stops the Australian Government from gagging charities and not-for-profit organisations.\n\n**What it does:**\n- **Bans 'gag clauses'** in government contracts with not-for-profits. A gag clause is any rule that stops an organisation from speaking publicly about government laws, policies, or practices — whether supporting them, opposing them, or just commenting on them.\n- **Makes these clauses automatically invalid** if they appear in contracts.\n- **Protects existing contracts** — any gag clause in a contract signed before this law started is void from that date forward (though any legal rights or obligations that already existed under that clause remain valid).\n\n**Who it affects:**\n- **Not-for-profit entities** — this includes registered charities and other non-profit organisations that enter into agreements with Commonwealth government agencies.\n- **Government agencies** — specifically those covered by the Privacy Act 1988 (basically most federal government departments and bodies).\n\n**Important exceptions:**\n- Organisations can still be required to keep **confidential information** secret (like trade secrets or national security information).\n- They can still be required to protect **personal information** (private details about individuals).\n\n**Why it matters:**\nBefore this law, government funding contracts sometimes included clauses that prevented charities from criticising government policy or advocating for law changes. This law ensures that receiving government money doesn't silence organisations from participating in public debate about how the country is run. It protects democratic participation and the ability of community groups to speak up on issues that matter to them."}},"importantCases":[],"_links":{"self":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013","history":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013/history","analysis":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013/analysis","conflicts":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013/conflicts","importantCases":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013/important-cases","documents":"/api/acts/not-for-profit-sector-freedom-to-advocate-act-2013/documents"}}