How to dissolve a foundation in Nigeria

How to dissolve a foundation in Nigeria

October 19, 2018

Do you have a Foundation/ NGO which you are tired of running and you have been wondering how to dissolve it? you can get it dissolved by taking the following easy steps;

  1. Write a petition for dissolution to the Corporate Affairs Commission. Note that this petition can be made by any of the following persons;

(a) the governing body or council; or

(b) one or more trustees; or

(c) members of the association constituting not less than 50 per cent of the total membership; or

(d) the Commission.

2. The following are grounds on which an NGO / Foundation may be dissolved by the commission, so be sure to include any of them in your petition.‐

(a) that the aims and objects for which it was established have been fully realized and no useful purpose would be served by keeping the Foundation alive;

(b) that the body corporate is formed to exist for a specified period and that period has expired and it is not necessary for it to continue to exist;

(c) that all the aims and objects of the association have become illegal or otherwise contrary to public policy; and

(d) that it is just and equitable in all the circumstances that the body corporate be dissolved.

3. At the hearing of the petition, if in the opinion of the court, some persons would be affected by the dissolution of the foundation, such persons would be notified of the proposed dissolution.

NOTE THAT; where after the dissolution of the Foundation / NGO and debts and liabilities have been settled, if any property remains, it shall not be distributed among or paid to the members of the association but transferred to some other institutions that have the same or similar objectives with the dissolved association, such association would have been decided by the members before or at the time of the dissolution, where a decision cannot be taken as to which organization should be the beneficiary, the property will be transferred to a charitable organization.

Reference S. 608 CAMA

Do you have any question or clarification regarding the topic in this post that was not answered/provided by this post? Or you have questions regarding what the law states about a particular legal issue? Log on to our website – www.618bees.com or call us on +23412803791 to speak to any of our consultants that are always on hand to provide answers to such questions.

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The information in this blog post (“post”) is provided for general informational purposes only, no information contained in this post should be construed as legal advice, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through this post without seeking the appropriate legal or professional advice from the particular facts and circumstances at issue from a lawyer.This post is protected by intellectual property law and regulations. It may however be shared using appropriate sharing tools provided that our authorship is always acknowledged and this Disclaimer Notice attached.

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