
The Law Commission published its report on Technical Issues in Charity Law in September 2017 following a public consultation.
1. Legislation update: The Small Business, Enterprise and Employment Act 2015 (the ‘SBEEA 2015’)
On 18 September 2015, the Small Business, Enterprise and Employment Act 2015 (Commencement No 2) Regulations 2015 were published. These provide that the following provisions of the SBEEA 2015 will take effect this month:
2. Legislation update: The Modern Slavery Act 2015 (the ‘MSA 2015’)
The MSA 2015 consolidates offences relating to trafficking and slavery. Section 54 of the MSA 2015 requires commercial organisations (defined as those who supply goods or services and have a minimum total turnover of £36 million per year) to prepare a slavery and human trafficking statement for each financial year.
There is no prescribed form or length for the statement, but it must state either:
You may wish to include this as a consideration within your procurement policies as part of your risk management of supply chains. Depending on turnover level, you could also include a requirement for the contractor to have their own anti-slavery policy or adhere to your policy into your contracts.
3. Guidance update: ‘The Essential Trustee’
Following consultation, a new version of the Charity Commission’s guidance for trustees – ‘The essential trustee (CC3)’ - has been published and is now available on the Commission’s website.
Trustees’ basic legal responsibilities remain unchanged, as does the Commission’s role as regulator. However, the guidance provides a new explanation of what the Commission expects a trustee must and should do in an attempt to draw a clear distinction between good practice, regulatory expectations/requirements and legal duties. The guidance emphasises that the Commission will expect trustees to explain and justify their approach, especially if the decision is made to depart from good practice.
Other changes include:
Click here to view the full guidance.
Spotlight: Copyright, trademarks and company names
We have received a number of instructions recently in relation to potential disputes or breaches of intellectual property rights (‘IPR’) in names and logos. These have primarily arisen from organisations failing to:
This quarter our spotlight therefore considers methods by which the risk of such issues arising can be minimised.
1. Design work: commissioning logos or other copyright works
The recent case of Atelier Eighty Two Ltd v Kilnworx Climbing Centre CIC and others highlights the common pitfalls for organisations commissioning logos or other copyright works.
When commissioning such works always obtain legal advice on the terms of the contract with the designer, and in particular watch out to ensure that IPR in the designs will belong to your organisation. This isn’t just limited to logos; think about it when commissioning any kind of work where copyright arises (for example, websites or ‘apps’).
To see our full briefing on the case please click here.
2. Initial searches: names and logos
Often clients are keen to keep proposed names and logos confidential until the ‘big reveal’. However, this can lead to issues if the appropriate searches are not undertaken to check whether a name or logo is either already registered (with Companies House, the Financial Conduct Authority, the Charity Commission or with the Intellectual Property Office) or is already being used by another entity.
When making a decision on a new name or logo, ensure to undertake or commission the appropriate searches. Wider internet searches should be made to ensure that the name you have chosen isn’t already being used by another organisation - keep in mind the risk of a claim against you of ‘passing off’, particularly if the existing entity is operating in the same or a related industry or geographic area. Also bear in mind the reputational damage that could be caused by the actions of a company with a similar name.
The following are some key questions to keep in mind:-
Contact Sarah Greenhalgh.
The Law Commission published its report on Technical Issues in Charity Law in September 2017 following a public consultation.
Changing charitable purposes and amending governing documents.
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