Sunday 2 March 2014

LEGAL MATTERS : THE RIGHT TO BE A CLUB MEMBER....... ( Article by Professor Hu Chi Ku Chi )

With regards to applicants they have no legal right to require a club to admit them into their fold, especially when it remains an open question as to whether or not the courts see the relationship between members and not-for-profit organisations as being contractual . As outsiders , any right to membership has still to be conferred upon them , leaving the club committee at liberty to use its discretion to reject " dodgy " applicants without fear of legal reprisals. 
Yet despite this obvious view,  a right to membership may well exist but only in exceptional circumstances .  These would require precise wording in the club's by-laws or constitution, which establishes a contractual relationship between the club and its members. But more importantly , there must be a commitment permitting automatic selection if certain  qualification criteria is met , along side a statement which denies the committee the option to use its discretion to refuse membership, should it harbour other concerns.
It needs to be noted that if an existing member allows his membership to lapse or expire , then any attempt to rejoin the club requires that person to reapply for membership ,  being once again an outsider . Refusal in these circumstances can not amount to a suspension or termination in that the person is by definition  a repeat applicant , and even if all the qualification criteria has already been established ,  the committee may well decide to use its discretion and refuse the application .  

However,  the legal situation regarding existing members is a little more complex. Indeed it is open for clubs to draft into their by-laws and constitution a provision which states membership is for a fixed term only , usually one year. This arrangement therefore entitles the committee to use and apply qualification criteria , along with its discretion , to determine which people can successfully renew their membership ...... and which group of undesirables can be weeded out , simply by having their renewal applications rejected.
If on the other hand the constitution flags up an automatic renewal provision then members are given the right to continued membership , so long as they pay next years' subs on or before the agreed deadline.  Any failure on their part to pay the subs on schedule will result in their membership coming to an automatic end ,  requiring them to reapply as if they were newcomers. 

The drafting of any club constitution or by-laws should not be left to enthusiastic amateurs. It requires careful legal research into model constitutions , before asking trained professionals in this field to skilfully write up the provisions in such a way that they succeed in meeting the key objectives laid down by the committee, omitting in the process all the potential pitfalls and risks. No easy task. Nevertheless , it is usually important to
(a) state clearly how members are to be admitted and/or re-admitted
(b) provide clear qualification criteria for membership , broken down in accordance with membership category ( if applicable )
(c) include in the admission process the right of the committee to use its discretion as and when it sees fit, being careful to ensure that the wording of the whole provision does not imply an automatic right to membership
(d) consider the use of additional terms of membership,  which sets up a disciplinary procedure for carrying out suspensions and expulsions. Committees would be well advised to goes beyond the standards of fairness and impartiality expected of them by the courts. For if a club committee is seen to have bent over backwards to be fair and just in disciplining errant members , then the likelihood of members successfully suing the club for wrongful expulsion becomes almost zero. 
(e) consider as an alternative to the right to suspend or expel members , breach of qualification criteria to bring about an automatic disqualification.  This might happen when a member is currently unable to meet an established qualification requirement ,  such as "possessing a clean criminal record ". In these circumstances it is far easier for committee to terminate membership , in that automatic disqualification does not attract the same level of procedural safeguards  as an expulsion for say "  refusing to heed to warnings , oral and written , regarding inappropriate behaviour ".  

On a final note a word of warning,  should a club opt for a fixed term membership over the automatic one , the committee is then faced with the unenviable task of judging which people should have their memberships renewed. Evaluating whether or not members have provided evidence over the year with regards to ongoing conformation of qualification criteria can be highly subjective , laborious and time-consuming.  Moreover , it is wide open to abuse , especially in small clubs where groups often harbour grievances against each other , corrupted by petty politics , petty squabbles , personality conflicts and vendettas. Existing members should always be allowed to continue their membership unless it is patently obvious that they have jeopardised their right to membership, by gross misconduct either inside or outside the club. When the misconduct reveals the subsequent lapse of qualification criteria  , then the right to membership is automatically lost . Otherwise,  the alternative option in ridding the club of its errant members is by implementing  costly , protracted , often bitter , disciplinary procedures involving investigations , hearings and appeals.    

  

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