Canada Not-For-Profit Corporations Act Receives Royal Assent

OTTAWA, ONTARIO, Jun 24 (MARKET WIRE) --
New federal legislation that will streamline the regulatory burden on
Canada's not-for-profit sector has been given Royal Assent and is ready
to become law, the Honourable Diane Ablonczy, Minister of State (Small
Business and Tourism) announced today.

"This new Act will bring the legislative framework governing
not-for-profit organizations into the 21st century. It will promote
modern standards of accountability, transparency and good corporate
governance that will benefit the voluntary sector as it works to build a
stronger Canada," said Minister Ablonczy. "The new statute will allow
organizations to spend less time on paper burden and more time on what
they do best which is delivering important services to Canadians."

The new act will replace provisions of the Canada Corporations Act (CCA)
that had remained largely unchanged since its passage in 1917.
Corporations currently incorporated under the Canada Corporations Act
will have three years to apply for corporate status. There will be no
fees for this process.

"The flexibility and regulatory reductions in the new Act have been
anticipated by the not-for-profit sector for several years," said
Minister of State Ablonczy. "It will allow not-for-profit organizations
to be more efficient and effective in the modern Canadian economy."

Bill C-4, the Canada Not-for-Profit Corporations Act, passed Third
Reading in the Senate and received Royal Assent Tuesday.

The Canada Not-for-Profit Corporations Act will enable organizations to
incorporate faster and improve their financial accountability, clarify
the roles and responsibilities of directors and officers, and enhance the
protection of members' rights.

There are approximately 161,000 not-for-profit organizations in Canada,
of which some 19,000 are incorporated federally. These organizations
include charities, community associations, family centres, shelters and
religious organizations.

Contacts:
Office of the Honourable Diane Ablonczy
Minister of State (Small Business and Tourism)
Catherine Godbout
613-947-5856

Industry Canada
Media Relations
613-943-2502

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