Article 127 Power to replace purposes of unincorporated charity
This Article applies to a charity if—
its gross income in its last financial year did not exceed £10,000,
it does not hold any designated land, and
it is not a company or other body corporate.
“Designated land” means land held on trusts which stipulate that it is to be used for the purposes, or any particular purposes, of the charity.
The charity trustees of such a charity may resolve for the purposes of this Article that the trusts of the charity should be modified by replacing all or any of the purposes of the charity with other purposes specified in the resolution.
The other purposes so specified must be charitable purposes.
But the charity trustees of a charity do not have power to pass a resolution under paragraph (2) unless they are satisfied—
that it is expedient in the interests of the charity for the purposes in question to be replaced, and
that, so far as is reasonably practicable, the new purposes consist of or include purposes that are similar in character to those that are to be replaced.
Any resolution under paragraph (2) must be passed by a majority of not less than two-thirds of the charity trustees who vote on the resolution.
Where charity trustees have passed a resolution under paragraph (2), they must send a copy of it to the Commission, together with a statement of their reasons for passing it.
Having received the copy of the resolution, the Commission—
may direct the charity trustees to give public notice of the resolution in such manner as is specified in the direction, and
if it gives such a direction, must take into account any representations made to it by persons appearing to it to be interested in the charity, where those representations are made to it within the period of 28 days beginning with the date when public notice of the resolution is given by the charity trustees.
The Commission may also direct the charity trustees to provide the Commission with additional information or explanations relating to—
the circumstances in and by reference to which they have decided to act under this Article, or
their compliance with any obligation imposed on them by or under this Article in connection with the resolution.
Subject to the provisions of Article 125 (as they apply in accordance with paragraph (10)), a resolution under paragraph (2) takes effect at the end of the period of 60 days beginning with the date on which the copy of it was received by the Commission.
Article 125 applies to a resolution under paragraph (2) of this Article as it applies to a resolution under paragraph (2) of Article 124, except that any reference to paragraph (7), (8) or (9) is to be read as a reference to paragraph (7), (8) or (9) above.
As from the time when a resolution takes effect under paragraph (9), the trusts of the charity concerned are to be taken to have been modified in accordance with the terms of the resolution.
The Department may by order amend paragraph (1) by substituting a different sum for the sum for the time being specified there.