Effect of incorporation

The purpose of incorporation is to create a legal entity that is separate from the individual members.  In practical terms incorporating means:

  • the association becomes a body corporate with perpetual succession (it may exist forever, even as its membership changes);
  • the name of the association is protected and will end with the word 'Incorporated' or 'Inc.';
  • members or officers of the association are generally not liable to contribute towards the payment of debts or liabilities of the association; and
  • the association may sue or be sued in its own corporate name.