Seanad debates

Thursday, 4 December 2008

Charities Bill 2007: Committee Stage

 

4:00 pm

Photo of John CurranJohn Curran (Dublin Mid West, Fianna Fail)

I recognise there is an issue, with which I am familiar, and I have seen and received correspondence on the matter as it concerns Respond. The amendments reflect a concern that a charity trustee might be held personally responsible for losses that a charity might suffer where State agencies or a public body do not follow through on an agreement made with a charity. The Charities Bill does not make charity trustees personally liable for such losses. Charity trustees are already personally liable for such losses, which is unfair.

Some weeks ago when the Bill was on Report Stage in the Dáil, we introduced section 89 which allows charities to take out insurance to indemnify trustees from personal liability in respect of any act done or omitted by him or her in good faith. This approach reflected the recommendation of the Law Reform Commission and I believe it addresses the matter. I am conscious that the matter involves the role of directors which is governed by different legislation. It is impossible to legislate for every specific case. The amendment introducing section 89, which reflects the recommendation from the Law Reform Commission, substantially addresses this issue.

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