How to: the appropriate mechanism
There are a number of potential mechanism through which the Council could activate sites.
LTD Company Model • No need for a Memorandum and Articles of Association • No need for an “objects clause”, meaning a new “Ltd” company can benefit from pursuing any activities it may wish within the parameters of Irish law • A “Ltd” company may have only one director , however they must maintain a secretary, consequently there must be a minimum of two officers
DAC Model • A “DAC” must include a two part document consisting of a Memorandum and Articles of Association • A need for an ‘objects clause’ outlining the business’s specific function. This clause thus limits the company to operating within this specific area and consequently the doctrine of ‘Ultra Vires’ applies • A “DAC” is not completely restricted to its original objects clause . The company can alter this clause by means of a special resolution (Companies Act 2014)
Community Land Trust • Is guided by – and accountable to – the community members • One third of the CLT’s board of directors is nominated and elected by members who live on the CLT’s land . • One third of the board nominated and elected by members who reside within the CLT’s targeted “community” but do not live on the CLT’s land • One third comprises public officials, local funders, non-profit providers of housing or social services, and other individuals presumed to speak for the public interest
Unlimited Companies • No limited liability for members. Members of a company are fully liable for any debts that may be due in cases of insolvency • A requirement to file a Memorandum and Articles of Association that comprise the constitution of the company and define its activities • UCs may be single member companies but must maintain at least two directors within the company
• Strategic Development Resources Ltd (England & Wales) • Mietshäuser Syndikat (Germany)
• Limerick Twenty Thirty DAC • Donegal 2040 DAC • Ennis 2040 DAC
• London CLT • Brussels CLT • CLT Ghent • OFSML
• Limited evidence observed and model may not be appropriate, given scale of risk
(France)
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