Part I

Trade Unions
Chapter III

Trade union administration

Annual return, accounts and audit

Appointment and removal of auditors.
35
1
The rules of every trade union shall contain provision for the appointment and removal of auditors.
But the following provisions have effect notwithstanding anything in the rules.
2
An auditor of a trade union shall not be removed from office except by resolution passed at a general meeting of its members or of delegates of its members.
3
An auditor duly appointed to audit the accounts of a trade union shall be re-appointed as auditor for the following accounting period, unless—
a
a resolution has been passed at a general meeting of the trade union appointing somebody instead of him or providing expressly that he shall not be re-appointed, or
b
he has given notice to the trade union in writing of his unwillingness to be re-appointed, or
c
he is ineligible for re-appointment, or
d
he has ceased to act as auditor by reason of incapacity.
4
Where notice has been given of an intended resolution to appoint somebody in place of a retiring auditor but the resolution cannot be proceeded with at the meeting because of the death or incapacity of that person, or because he is ineligible for the appointment, the retiring auditor need not automatically be re-appointed.
5
The references above to a person being ineligible for appointment as auditor of a trade union are to his not being qualified for the appointment in accordance with subsections (1) to (4) of section 34 or being precluded by subsection (5) of that section from acting as its auditor.
6
The Secretary of State may make provision by regulations as to the procedure to be followed when it is intended to move a resolution—
a
appointing another auditor in place of a retiring auditor, or
b
providing expressly that a retiring auditor shall not be re-appointed,
and as to the rights of auditors and members of the trade union in relation to such a motion.
Any such regulations shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.
7
Where regulations under subsection (6)—
a
require copies of any representations made by a retiring auditor to be sent out, or
b
require any such representations to be read out at a meeting,
the court, on the application of the trade union or of any other person, may dispense with the requirement if satisfied that the rights conferred on the retiring auditor by the regulations are being abused to secure needless publicity for defamatory matter.
8
On such an application the court may order the costs or expenses of the trade union to be paid, in whole or in part, by the retiring auditor, whether he is a party to the application or not.
Words in s. 35(5) substituted (30.8.1993) by 1993 c. 19, s. 49(1), Sch. 7 para. 19(a)(b); S.I. 1993/1908 art. 2(1), Sch.1