Legal and corporate issues

Question 1

Where was Yomi Oduwobi from?

Answer 1

credit union central of Manitoba

Question 2

credit unions definition

Answer 2

financial co-operatives which are owned and controlled by the members who use their services

Question 3

Are credit unions incorporated federally or provincially?

Answer 3

both

Question 4

How many communities in Manitoba where a credit union is the only financial institution in town?

Answer 4

68 communities

Question 5

Types of legal organization forms

Answer 5

sole proprietorship
partnership
corporation none share capital
corporation share capital
co-operative (for-profit)
co-operative (not-for-profit)

Question 6

Factors when deciding type of incorporation as co-op

Answer 6

objectives of organization
organization national or local
tax treatment of the organization

Question 7

Federal incorporation

Answer 7

for co-ops that operate businesses in more than one province

Question 8

Does legislation vary in each province?

Answer 8

Yes

Question 9

What does varying legislation between provinces depend on?

Answer 9

The federal act

Question 10

Incorporation choices as a co-op

Answer 10

for profit or not for profit

provincial or national

Question 11

Share capital (for profit) co-op

Answer 11

• limited liability and continuity of the business as membership changes
• can use co-op designation in the legal name
• allows members investment to take form of a share purchase

Question 12

Non-share capital (non profit) co-op

Answer 12

• limited liability and continuity of the business as membership changes
• can use co-op designation in the legal name
  DIFFERENCE: the members investment is limited to a loan

Question 13

Difference between share and non-share capital co-op?

Answer 13

with share- members investment= form of share purchase

non-share- members investment= limited to a loan

Question 14

To register as a charity, an organization must devote itself to? (4 options)

Answer 14

1) relief of poverty
2) advancement of education
3) advancement of religion
4) other purposes beneficial to the community not falling under the other 3 purposes

Question 15

how many co-operative charities operating in Canada?

Answer 15

375

Question 16

Articles of incorporation must include:

Answer 16

name of co-operative 
address
# of members
# of directors
name and addresses of first directors 
purpose of forming co-op
# of authorized capital shares

Question 17

Things that should be in by-laws (5 things)

Answer 17

1) share or loan arrangements
2) fiscal year
3) distribution of surplus
4) election and terms of office
5) dissolution procedures

Question 18

Acts that co-ops are dictated by?

Answer 18

Co-operative Acts
Income Tax Act
Competition Act
Federal Lobbying Act

Question 19

Income Tax act

Answer 19

places certain obligations upon directors of organizations

Question 20

Competition act

Answer 20

to encourage competition and prohibit unfair business practices

Question 21

Federal Lobbying act

Answer 21

governs the conduct of lobbyists

Question 22

multi-stakeholder co-op

Answer 22

different types of co-ops working together

Question 23

first country and year to adopt multi-stakeholder model?

Answer 23

Italy, 1991

Question 24

Membership classes (2 types)

Answer 24

Main classes: workers, consumers, producers

Supporter classes: community members, investor members

Question 25

multi-stakeholder challenges

Answer 25

• different classes of members could have conflicting needs

- focusing in commonalities rather than differences may not be natural to people