RECO / TRESA · Interpretation
Compliance-interpretation and severability clause
What the check looks for
The articles should be read so far as legally possible to preserve PREC status, and yield to mandatory law without taking the rest of the instrument down.
Authority: Drafting practice
This is drafting practice, recommended rather than required by O. Reg. 536/20.
What goes wrong
The articles do not address this. Whether the condition is met then rests on conduct alone, with nothing in the articles to prevent a breach. Adding the wording is recommended drafting practice.
What good looks like
The articles contain a provision to this effect.
Check your own articles, free
The PREC Articles Health Check reads your articles of incorporation in your own browser and rates them Red, Yellow or Green against this criterion and 29 others. The check does not upload your document to us.
It reads how the articles are drafted; it does not advise on your circumstances, and Capital Toolkit does not file articles with the Province.
Capital Toolkit is an automated service. It provides general information, not legal, tax or accounting advice, and it does not replace your own lawyer or accountant. Have a qualified professional review any document before you rely on it, sign it or file it.