Compliance with the law

Trustees must ensure the charity complies with laws relevant to its work. 

Such laws will vary from charity to charity depending on its size and activities, but often include charity law, company law (if the charity is a company limited by guarantee), employment law (if staff are employed), health and safety legislation, data protection, legislation against discrimination and legislation protecting children and vulnerable adults.

There have been a number of recent changes in the law affecting charities and charitable companies – in particular, arising from the Charities Act 2006 and Companies Act 2006.

Trustee are not expected to be experts on the law, but should be aware that legal requirements exist and must ensure the charity is meeting them - taking expert legal advice as necessary.

Trustees might find that detailed aspects of legal compliance are delegated to individual trustees or staff – a good system of delegation can help ensure trustees maintain an overview of their legal responsibilities.