Bullmans Parade wrote:
Thanks FA that's the kind of response I've been waiting for. I had a feeling i was misunderstanding things and was looking for someone knowledgeable enough to clear it up for me!
So just to clarify, is the "club" effectively just an alias for the holding company? Therefore when the RFL grants membership it is to that holding company who are simply "also known as" the club?
"The club" is used in different ways at different times. Nothing new so far as RFL concerned.
However for the formalities, there is the club which is the limited company that owns the business; and there is "the owner" which is the person who controls the limited company and needs to pass the fit and proper test. And of course as we know in Omar's case, was also required to sign up to personal guarantees as well.
There's not much simple about membership. You have to be either a subscriber to the Memorandum of Association of what is now RFL (Governing Body) Ltd (which was set up at around the turn of the century when the unincorporated RFL was in serious danger of going bust, to protect the members from potential liability to creditors - ironic that).
If there is an insolvency event or indeed a change of ownership the Board of RLFGBL has the right (but not obligation) to terminate the membership. In insolvency it also has the right to readmit that Member or admit a new member on any terms it thinks fit, including sanctions; and as the more anal of you may recall, in the case of re-admissions, may also deem that membership continued as if membership had not ceased at all.
The Board also has the right (but not obligation) to state in advance of acquisitions, insolvency etc. whether a member would be readmitted or a new member admitted and if so on what terms.
I'd without more therefore assume that the new buyers have already been given the nod by the RFL, rather than blind-siding them, especially as the powers are discretionary and you never want to be on the wrong side of a body who has complete discretion over your case!
