ASIC updates guidance on virtual meetings for companies

• the difference between hybrid meetings and virtual-only meetings
• where and what time hybrid and virtual-only meetings are held
• whether a particular technology or software is required for such meetings
• whether such meetings need a phone line option
• whether a webcast meets the requirements of such meetings
• whether meeting materials can be sent via email
• whether members attending virtually should vote
• whether members have rights relating to the poll’s outcome
• how to notify the ASIC upon the amendment of an entity’s constitution
• what other changes arise from the Corporations Amendment (Meetings and Documents) Act 2022

Context

In the ASIC’s news release, it provided context for the update. During the COVID-19 pandemic, Australia’s government introduced temporary measures to enable virtual meetings and the electronic signing of documents.

In 2022, amendments to the Corporations Act 2001 aimed to provide a legislative basis for some of these temporary measures. These amendments required the government to appoint an independent panel to review the operation of the virtual meetings provisions.

The panel then released its final report from its statutory review of the meetings and documents amendments, which was tabled in Parliament on 9 September 2024.

The government responded to the statutory review on 4 February. It agreed to a recommendation for bodies including the ASIC to offer more guidance relating to virtual meetings in accordance with their respective roles.