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This version of this statute is extracted from the UK Statute Law Database (SLD). It is not necessarily in the form in which it was originally enacted but is a revised version, which means that any subsequent amendments to the text and other effects are incorporated with annotations.
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Cancellation, suspension or refusal of registration of society or rules
Membership and special provisions affecting members
Contracts, property, etc., of society
An Act to consolidate certain enactments relating to industrial and provident societies, being those enactments as they apply in Great Britain and the Channel Islands with corrections and improvements made under the Consolidation of Enactments (Procedure) Act 1949.
[2nd June 1965]
C1Act modified (19.12.1993) by S.I. 1993/3245, reg. 7, Sch.
C2Act extended with modifications by Credit Unions Act 1979 (c. 34, SIF 55:3), ss. 1–4, 6, 9, 18, 20–23, 31, 32
C3Act modified by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 2(3)
C4Power to modify the Act conferred by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 32(2)(c)
C5Act applied by Housing Associations Act 1985 (c. 69, SIF 61), s. 19(4)
C6Act excluded by Housing Associations Act 1985 (c. 69, SIF 61), s. 23(1)
C7Act amended (1.2.1993) by Friendly Societies Act 1974 (c. 46), s. 84A(1)(2)(5) (as inserted (1.2.1993) by Friendly Societies Act 1992 (c. 40), s. 95, Sch. 16 para.32 (with ss. 7(5), 93(4)); S.I. 1993/16, art. 2, Sch.3; Expressed to be brought into force (13.9.1993) for all remaining purposes by S.I. 1993/2213, art 2(1), Sch.2
C8Act restricted (16.10.1992) by Trade Union and Labour Relations (Consolidation) Act 1992 (c. 52), ss. 10(3)(b), 302.
C9Act applied (1.10.1996) by 1996 c. 52, s. 7, Sch. 1 Pt. II para. 9(5) (with s. 51(4)); S.I. 1996/2402, art. 3
Act applied (S.) (1.11.2001) by 2001 asp 10, s. 63, Sch. 7 para. 7(5); S.S.I. 2001/336, art. 2(3), Sch. Pt. II (subject to transitional provisions and savings in art. 3)
Act excluded (1.10.1996) by 1996 c. 52, s. 7, Sch. 1 Pt. II para. 15(2) (with s. 51(4)); S.I. 1996/2402, art. 3
Act excluded (S.) (1.11.2001) by 2001 asp 10, s. 63, Sch. 7 para. 12(3); S.S.I. 2001/336, art. 2(3), Sch. Pt. II (subject to transitional provisions and savings in art. 3)
C10Act: power to transfer functions conferred (25.2.2001) by 2000 c. 8, ss. 338(1)(a), 339; S.I. 2001/516, art. 2, Sch. Pt. I
Act: power to amend, except for specified provisions, conferred (8.9.2002) by 2002 c. 20, ss. 2(2), 4(2)
E1By s. 78 (2) it is provided that this Act extends to the Channel Islands but does not extend to Northern Ireland.
I1Act not in force at Royal Assent see s. 78(3); Act wholly in force at 1.1.1966.
(1)Subject to sections 2(1) and 7(1) of this Act, a society for carrying on any industry, business or trade (including dealings of any description with land), whether wholesale or retail, may be registered under this Act if—
(a)it is shown to the satisfaction of [F1the Authority] that one of the conditions specified in subsection (2) of this section is fulfilled; and
(b)the society’s rules contain provision in respect of the matters mentioned in Schedule 1 to this Act; and
(c)the place which under those rules is to be the society’s registered office is situated in Great Britain or the Channel Islands.
(2)The conditions referred to in subsection (1)(a) of this section are—
(a)that the society is a bona fide co-operative society; or
(b)that, in view of the fact that the business of the society is being, or is intended to be, conducted for the benefit of the community, there are special reasons why the society should be registered under this Act rather than as a company under the [F2Companies Act 1985].
(3)In this section, the expression “co-operative society” does not include a society which carries on, or intends to carry on, business with the object of making profits mainly for the payment of interest, dividends or bonuses on money invested or deposited with, or lent to, the society or any other person.
F1Words in s. 1(1)(a) substituted (1.12.2001) by S.I. 2001/2617, arts. 2(b), 13(1), Sch. 3 Pt. III para. 215 (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)
F2Words substituted by Companies Consolidation (Consequential Provisions) Act 1985 (c. 9, SIF 27), s. 30, Sch. 2
C1S. 1, Sch. 1 excluded by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 2(1)
(1)Subject to subsection (2) of this section—
(a)no society shall be registered under this Act if the number of the members thereof is less than [F1three]; and
(b)an application for the registration of a society under this Act shall be signed by [F1three] members and the secretary of the society and shall be sent with two printed copies of the society’s rules to [F2the Authority].
(2)A society whose members consist solely of two or more registered societies may be registered under this Act if the application for registration is signed by F3. . . the secretary of each [F4(or, if more than two, of each of any two)] of the constituent societies and is accompanied by two printed copies F3. . . of the rules of the society sought to be registered.
(3)On being satisfied that a society has complied with the provisions of this Act as to registration thereunder, [F2the Authority] shall issue to the society an acknowledgment of registration [F5bearing the Authority’s seal]
F1S. 2(1)(a)(b) word substituted (1.9.1996) by S.I. 1996/1738, arts. 1, 3(1)
F2Words in s. 2(1)(b)(3) substituted (1.12.2001) by S.I. 2001/2617, arts. 2(b), 13(1), Sch. 3 Pt. III para. 215 (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)
F3S. 2(2) words repealed (1.9.1996) by S.I. 1996/1738, arts. 1, 4(1)(a)(c)
F4S. 2(2) words substituted (1.9.1996) by S.I. 1996/1738, arts. 1, 4(1)(b)
F5Words in s. 2(3) substituted (1.12.2001) by S.I. 2001/3649, arts. 1, 181(2)
C1S. 2(1) modified by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 6(1)(a)
C2S. 2(3) modified by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 2(2)
A registered society shall by virtue of its registration be a body corporate by its registered name, by which it may sue and be sued, with perpetual succession and a common seal and with limited liability; and that registration shall vest in the society all property for the time being vested in any person in trust for the society, and all legal proceedings pending by or against the trustees of the society may be brought or continued by or against the society in its registered name.
C1Ss. 3, 16(7) excluded by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 2(5)
Any society which at the date immediately before the commencement of this Act was registered or deemed to be registered under the M1Industrial and Provident Societies Act 1893 (hereafter in this Act referred to as “the Act of 1893”), being a society whose registered office was at that date in Great Britain or the Channel Islands, shall be deemed to be registered under this Act; and—
(a)any acknowledgment of registry of that society issued by virtue of section 5(4), 6 or 7(2) of the Act of 1893 shall be deemed to be an acknowledgment of the registration under this Act of that society and, by virtue of section 9 of this Act, of the rules of the society in force at the date of the acknowledgment;
(b)any acknowledgment of registry of an amendment of the society’s rules issued by virtue of section 7(2) or 10(3) of the Act of 1893 shall be deemed to be an acknowledgment of the registration of that amendment under this Act;
(c)any change of the society’s name duly made before the date of commencement of this Act in accordance with section 52 of the Act of 1893 as in force at the time of the change, and any change in the situation of the society’s registered office of which notice was duly given before that date under section 11 of that Act, shall be deemed for the purposes of this Act to be a duly registered amendment of the society’s rules;
(d)any rules of that society which, having been made before 1st January 1894, continued in force immediately before the commencement of this Act by virtue of section 3 of the Act of 1893 shall be deemed to be registered under this Act.
(1)No society shall be registered under this Act under a name which in the opinion of [F1the Authority] is undesirable.
(2)Subject to subsection (5) of this section, [F2the last word in the name of every society registered under this Act shall be “limited” or, if the rules of the society state that its registered office is to be in Wales, either that word or the word “cyfyngedig” ].
(3)A registered society may change its name in the following manner and in that manner only, that is to say—
(a)by a resolution for the purpose passed at a general meeting of the society after the giving of such notice as is required by the rules of the society of such a resolution or, if the rules do not make special provision as to notice of such a resolution, after the giving of such notice as is required by the rules of a resolution to amend the rules; and
(b)with the approval in writing [F3of the Authority]
(4)No change in the name of a registered society shall affect any right or obligation of the society, or of any member thereof, and any pending legal proceedings may be continued by or against the society notwithstanding its new name.
(5)If [F1the authority]is satisfied that the objects of a society applying for registration under this Act or of a registered society are wholly charitable or benevolent, [F4the Authority] may register the society by a name which does not contain the word “limited” [F5or the word “cyfyngedig” ]or, as the case may be, permit the society to change its name to one which does not contain [F6either of those words]; but if it subsequently appears to [F1the Authority] that the society, whether in consequence of a change in its rules or otherwise, is not being conducted wholly for charitable or benevolent objects, [F4the Authority] may direct that the word “limited” [F5, or in an appropriate case the word “cyfyngedig”,]be added as the last word in the name of the society and shall notify the society accordingly.
(6)Every registered society shall cause its registered name to be painted or affixed, and to be kept painted or affixed, in a conspicuous position and in letters easily legible, on the outside of its registered office and every other office or place in which the business of the society is carried on, and shall have that name engraven in legible characters on its seal and mentioned in legible characters—
(a)in all notices, advertisements and other official publications of the society;
(b)in all business letters of the society;
(c)in all bills of exchange, promissory notes, endorsements, cheques, and orders for money or goods, purporting to be signed by or on behalf of the society;
(d)in all bills, invoices, receipts, and letters of credit of the society.
(7)Any officer of a registered society, or any other person acting on such a society’s behalf, who—
(a)uses any seal purporting to be a seal of the society which does not have the society’s registered name engraven on it in legible characters; or
(b)issues or authorises the issue of any document such as is mentioned in subsection (6)(a) or (d) of this section in which that name is not mentioned in legible characters; or
(c)signs or authorises to be signed on behalf of the society any document such as is mentioned in subsection (6)(c) of this section in which that name is not so mentioned,
shall be liable on summary conviction to a fine not exceeding [F7level 3 on the standard scale] and, in the case of a conviction by virtue of paragraph (c) of this subsection, shall further be personally liable to the holder of any such document as is referred to in that paragraph for the amount specified in the document unless that amount is duly paid by the society.
F1Words in s. 5(1)(5) substituted (1.12.2001) by S.I. 2001/2617, arts. 2(b), 13(1), Sch. 3 Pt. III para. 215 (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)
F2Words in s. 5(2) substituted (21.12.1993) by 1993 c. 38, ss. 28(2), 36(1)
F3Words in s. 5(3)(b) substituted (1.12.2001) for subparagraphs (i)(ii) by S.I. 2001/2617, arts. 2(b), 13(1), Sch. 3 Pt. III para. 216(a) (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)
F4Word in s. 5(5) substituted (1.12.2001) by S.I. 2001/2617, arts. 2(b), 13(1), Sch. 3 Pt. III para. 216(b) (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)
F5Words in s. 5(5) inserted (21.12.1993) by 1993 c. 38, ss. 28(3)(a)(c), 36(1)
F6Words in s. 5(5) substituted (21.12.1993) by 1993 c. 38, ss. 28(3)(b), 36(1)
F7Words substituted (E.W.S.) by virtue of (E.W.) Criminal Justice Act 1982 (c. 48, SIF 39:1), ss. 38, 46 and (S.) Criminal Procedure (Scotland) Act 1975 (c. 21, SIF 39:1), ss. 289F, 289G
C1S. 5(5) amended by Credit Unions Act 1979 (c. 34, SIF 55:3), s. 3(4)
(1)Where a society is, or is to be, registered under this Act, no member thereof other than—
(a)a registered society; or
(b)an authority who acquired the holding by virtue of [F1section [F258]or 59(2) of the Housing Associations Act 1985 [F3or section 22 of the Housing Act 1996]] ;or
(c)a member who acquired the holding by virtue of paragraph 2 of Part I of the Schedule to the M1Agricultural Credits Act 1923 at a time when section 2 of that Act applied to the society,
shall have or claim any interest in the shares of the society exceeding [F4 twenty thousand pounds] .
Industrial and Provident Societies Act 1965