Legal and governance training and consultancy
for the voluntary sector

Ch.1: Setting up an organisation
Ch.2: Unincorporated organisations
Ch.3: Incorporated organisations
Ch.4: Charitable status, charity law & regulation
Ch.5: The organisation's objects
Ch.6: The organisation's name
Ch.7: The governing document
Ch.8: Registering as a charity
Ch.9: Branches, subsidiaries & group structures
Ch.10: Changing legal form
Ch.11: Collaborative working, partnerships and mergers
Ch.12: Members of the organisation
Ch.13: Members of the governing body
Ch.14: Officers, committees & sub-committees
Ch.15: Duties & powers of the governing body
Ch.16: Restrictions on payments & benefits
Ch.17: The registered office & other premises
Ch.18: Communication & paperwork
Ch.19: Meetings, resolutions & decision making
Ch.20: Assets & agency
Ch.21: Contracts & contract law
Ch.22: Risk & liability
Ch.23: Insurance
Ch.24: Financial difficulties & winding up
Ch.25: Employees & other workers
Ch.26: Rights, duties & the contract of employment
Ch.27: Model contract of employment
Ch.28: Equal opportunities in employment
Ch.29: Taking on new employees
Ch.30: Pay & pensions
Ch.31: Working time, time off & leave
Ch.32: Rights of parents & carers
Ch.33: Disciplinary matters, grievances & whistleblowing
Ch.34: Termination of employment
Ch.35: Redundancy
Ch.36: Employer-employee relations
Ch.37: Employment claims & settlement
Ch.38: Self employed & other contractors
Ch.39: Volunteers
Ch.40: Health & safety
Ch.41: Safeguarding children & vulnerable adults
Ch.42: Equal opportunities: goods, services & facilities
Ch.43: Data protection & use of information
Ch.44: Intellectual property
Ch.46: Campaigning & political activities
Ch.47: Public events, entertainment & licensing
Ch.48: Funding & fundraising: General rules
Ch.49: Fundraising activities
Ch.50: Tax-effective giving
Ch.51: Trading & social enterprise
Ch.52: Contracts & service agreements
Ch.53: Financial procedures & security
Ch.54: Annual accounts, reports & returns
Ch.55: Auditors & independent examiners
Ch.56: Corporation tax, income tax & capital gains tax
Ch.57: Value added tax
Ch.58: Investment & reserves
Ch.59: Borrowing
Ch.60: Land ownership & tenure
Ch.61: Acquiring & disposing of property
Ch.62: Business leases
Ch.63: Property management & the environment
Ch.64: How the law works
Ch.65: Dispute resolution & litigation

This page contains information that has appeared on Sandy Adirondack's legal update website for voluntary organisations at For current updates, including potential changes that are in the pipeline, see the legal update website.

These websites for each chapter update the 3rd edition of The Russell-Cooke Voluntary Sector Legal Handbook by James Sinclair Taylor and the Charity Team at Russell-Cooke Solicitors, edited by Sandy Adirondack (Directory of Social Change, 2009). The websites are not intended as a comprehensive update and should not be treated as such.

To order a copy of The Russell-Cooke Voluntary Sector Legal Handbook, print out the order form at or send an email order by clicking . It costs £60 for voluntary organisations or £90 for others, plus 10% p&p.

To avoid spamming, an email address is not given on screen. If you can't see the word 'here' or have trouble sending an email by clicking on it, the address is bookservice at, with the spaces and 'at' replaced by the @ symbol.

The information here covers the law applicable to England and Wales. It may not apply in Northern Ireland and/or Scotland. These news items are not a full or definitive statement of the law and are not intended as a substitute for professional legal advice. No responsibility for loss occasioned as a result of any person acting or refraining from acting can be taken by the author.

Chapter 45

The items below formerly appeared on the legal update website for voluntary organisations and are archived here. The content may be out of date and links may not work. For current updates to the chapter, see the legal update website for voluntary organisations at


Added 7/11/10. This information updates s.45.2 in The Russell-Cooke Voluntary Sector Legal Handbook (VSLH3).
A revised version of the CAP code (UK code of non-broadcast advertising, sales promotion and direct marketing) and a complete new BCAP code (UK code of broadcast advertising) came into effect from 1 September 2010. BCAP replaces four previous separate codes for broadcast advertising.

The general principles remain the same: that advertising should be legal, decent, honest and truthful. Among the new provisions are:

  • personal information about a child under 12 must not be collected from the child for marketing purposes, without consent from the child's parent or guardian;
  • personal information about any person must not be collected from a child under 16 for marketing purposes ;
  • claims of environmental effects or benefits must be substantiated (with the level of substantiation depending on the nature of the claim) and must not be misleading.

Charity marketing must not exploit children's susceptibility to charity appeals, and must explain how their participation will help in any charity-linked promotion (s.5.32 of the CAP code).

The codes are available from the Committee of Advertising Practice at, with further information at


Added 29/2/12. This information temporarily adds to various sections in The Russell-Cooke Voluntary Sector Legal Handbook (VSLH3).
As well as all the usual rules on advertising and public trading, additional strict rules under the London Olympic Games and Paralympic Games (Advertising and Trading) (England) Regulations 2011 and comparable regulations for Wales and Scotland apply near all Olympic and Paralympic sites (called event zones). These will apply during the relevant period for each site: the days of events, and the day before (four days before for the Olympic Park at Stratford). Restrictions will also apply along marathon and other event routes.

Unless it is excepted under the regulations, advertising at an event zone during the relevant period must be authorised by the London Organising Committee (LOCOG) and trading must be authorised by the Olympic Delivery Authority. The rules also apply to the air space above the zones. The deadline for applying for authorisation was 31 March 2012.

Advertising is defined very widely and includes any word, image, sound, light, sign, costume, device (and more) "in the nature of, and employed wholly or partly for the purpose of, promotion, advertisement, announcement or direction".

The restrictions cover displays of advertising material, and distributing or providing promotional material. This could include logos on clothing, words or illustrations on a person's body or displayed on an animal, skywriting, or advertisements on a mobile phone or other personal communication device if the advertiser intends them to be shown to the public at large rather than only to the individual using the device.

Particular attention is given to ambush marketing, defined as an advertising campaign consisting of an act or series of acts intended specifically to advertise a product or service or a person who provides a product or service. It could include, for example, anything from a group of people all wearing t-shirts with a branded name or logo, up to a T-mobile type flashmob dancing on the pavement.

The restrictions do not apply to individuals who wear clothing with advertising on it, display advertising on their body or carry personal property on which an advertisement is displayed, unless the individual knows or has reasonable cause to believe they are participating in an ambush marketing campaign. So it's OK to wear a branded shirt, jacket, trainers and backpack or display a tattoo with a brand name, but if the person is or looks like they could be there specifically to advertise the brand or are taking part in an organised activity, they could be in trouble.

An exception to the regulations that is significant for charities and other voluntary organisations allows advertising activity that is intended to demonstrate support for or opposition to the views or actions of any person or body of persons, or to publicise a belief, cause or campaign, or to mark or commemorate an event. This exception allows charities and other not-for-profit bodies to publicise themselves and their causes, but not their goods or services. For-profit bodies cannot use this exception to publicise either themselves or their goods or services. So a group of people wearing t-shirts with the logo or slogan of a not-for-profit organisation, or distributing leaflets about the organisation itself is probably OK, provided the t-shirts or leaflets do not advertise or promote the organisation's goods or services.

Trading, as defined in the regulations, includes making an appeal to members of the public to give money (by whatever means) or other property for charitable or other purposes, so fundraising cannot be undertaken within an event zone during the relevant period. Trading also includes selling an article, supplying a service (you will be glad to know there are exceptions for public transport, public toilets and telephone kiosks in event zones), and providing public entertainment (live music, recorded music, dance, a play, or entertainment of a similar nature) for gain or reward.

Shops, restaurants etc are exempt, as is trading on private land adjacent to those premises provided the trading forms part of their normal business (e.g. tables outside a restaurant). Other outdoor trading, such as street markets, is not allowed unless it is licensed by the Olympic Delivery Authority.

Enforcement officers can summarily destroy or remove anything that infringes the restrictions on advertising or trading. In addition, infringement is a criminal offence with a potentially unlimited fine, and officers of an organisation (governing body members, managers) can be prosecuted as individuals.

Rather worryingly, an organisation or its officers can be held to be liable if advertising occurs and they cannot prove either that they did not arrange it or that they took all reasonable steps to prevent it. So it is important that employees, volunteers, members, supporters or others who might see the Games as an opportunity to promote the organisation are aware of the restrictions on advertising and fundraising, as well as restrictions on use of Olympic and Paralympic-related words and symbols.

Information about the restrictions, including maps showing the event zones and a list of the relevant periods for each zone, is on the LOCOG website via

The London Olympic Games and Paralympic Games (Advertising and Trading) (England) Regulations 2011 are at

Comparable regulations for Wales are at,
and for Scotland at

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