Who wins when there is a conflict between Charity Law and ONCA?

When conflicts arise between the Ontario Not-for-Profit Corporations Act (ONCA) and charity law, it's essential to understand which prevails.

Section 5 of ONCA explicitly states that charity law prevails when conflict occurs. The latter takes precedence if ONCA's provisions or regulations clash with existing charity law.

Existing not-for-profit corporations previously governed under the Corporations Act automatically change their letters patent to articles of incorporation under ONCA.

This change ensures a seamless transition for these corporations as they adapt to the new legal framework.

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ONCA vs. Charity Law

ONCA primarily focuses on corporate matters, including directors' duties and members' rights.

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Charity law, on the other hand, encompasses a broader scope. It includes court decisions and statutes applicable to charitable corporations.

Charity law covers various aspects, including:

·        Charity Eligibility:

·        The Charities Accounting Act; and

·        Investment provisions under the Trustee Act

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