The member of a cooperative called to a meeting of the board of directors: a rigorous exercise.

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Whatever the type of cooperative, members sometimes have to answer for their conduct before the board of directors. However, this disciplinary power must be exercised in accordance with the provisions set by sections 57 to 60.2 of the Cooperatives Act. Lessons learned from the courts in this matter must be followed.

This disciplinary meeting with the member can have serious consequences : the member is at risks of being suspended or expelled from the cooperative, depending on the nature and severity of the reproaches brought by the board of directors, but also according to the history of his disciplinary record.

Before deciding of the appropriate type of sanctions, the board of directors must ensure that they comply with some procedural fairness requirements, which are well established in the law or in the internal by-laws of the cooperative. The member must receive a notice in advance indicating the reasons for his convocation before the board and he keeps the power to make representations and to defend himself, whatever the medium chosen (a letter, attending in person the meeting, through a proxy such as a lawyer).

His explanations and supporting documents will have to be fairly considered by the board of directors in the context of this meeting, which is then assimilated to a true impartial hearing of his case. The member also retains the possibility of being accompanied during this meeting, in particular by a lawyer. He will also have the right to request the review of any decision made against him, or even avail himself of a mediation clause, if it exists in the cooperative's by-laws.

These are important rights that fall under a principle of natural justice: not to consider or limit them, even inadvertently and without intention of doing wrong, could lead to the failure of this internal disciplinary procedure. Because this is the obvious purpose in many cases: the suspended or excluded member could seize the court and ask to a judge to cancel any decision taken by the board of directors without respecting his rights.

The management of a cooperative sometimes involves this kind of convening, in order to maintain an adequate functioning and preserve the collective interest of the cooperants.

At any time and at each stage of this process, contact us: we can advise and intervene in order to succeed in this demanding and rigorous exercise, whether it is necessary in a housing cooperative or in other types of cooperative.

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