201QRequirements for explanatory statement to members

201Q Requirements for explanatory statement to members

The statement accompanying the notice of a general meeting stating an intention to propose the board limit resolution must be in writing and set out clearly, concisely and effectively: (a) the directors’ reasons for proposing the board limit resolution; and (b) all other information that: (i) is reasonably required by members in order to decide whether or not it is in the company’s interests to pass the proposed board limit resolution; and (ii) is known to the company or to any of its directors.

Note: Section 1309 creates offences where false and misleading material relating to a corporation’s affairs is made available or furnished to members.