Ocean Law Bulletins

Under Fiji law, the Charitable Trusts Act, 1945 (Charitable Trusts Act) provides the legal process to incorporate (establish) a charitable trust. The incorporation of a charitable trust creates a legal "person" that may amongst other things: employ people, hold a bank account, secure office premises, enter contracts and sue and be sued.

To comply with section 2 of the Charitable Trusts Act, the proposed charitable trust must comply with one of the limited number of "charitable purpose[s]" set out in the Charitable Trusts Act. On Wednesday, 7 March 2018 by Legal Notice No. 14, the relevant Minister in exercise of his powers under the Charitable Trusts Act expanded the categories of "charitable purpose" to include:

· the conservation of the environment; and

· the provision of electricity to rural communities and households in Fiji that do not have such access.

As at 2018, there are about seventeen (17) regional and international organisations with offices in Fiji. Some of these not only oversee Fiji programs but also programs in the region and in other Pacific Island Countries.

Apart from these regional and international organisations, there are a multitude of other non-profit entities in Fiji working in areas including protecting the natural environment, children's rights and women's rights. Some of these organisations are not registered in Fiji and operate by way of a memorandum of understanding with the Government of Fiji while others are registered as charitable trusts, as branch offices or as companies limited by guarantee.

There are benefits for non-profit entities by establishing a legal entity under Fiji law and the aim of this bulletin is to consider the two most suitable ways to establish (incorporate) a non-profit entity under Fiji law. These are as a:

• Charitable trust; or
• Company limited by guarantee.