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Strengthening Ontario's Not-For-Profit Sector

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Strengthening Ontario's Not-For-Profit Sector

McGuinty Government Passes Not-For-Profit Corporations Act

Ministry of Consumer Services

Ontario is making it easier for not-for-profit corporations to operate and do business in today's marketplace while strengthening the economy and creating jobs.

The province's Not-for-Profit Corporations Act passed third reading today in the Ontario Legislature. Upon Royal Assent the new legislation will provide Ontario's 46,000 not-for-profit corporations with a modern, legal framework to:

  • enhance corporate governance and accountability
  • simplify the incorporation process
  • give more rights to members
  • better protect directors and officers from personal liability
  • allow not-for-profits to engage in commercial activities where revenues are used by the corporation in support of their not-for-profit purposes

The Act is based on extensive consultations across the province. This includes three consultation papers, a web advisory panel and regional workshops in Ottawa, London, Toronto and Thunder Bay attended by more than 200 organizations.

The nonprofit sector employs more than 16 per cent of Ontario's paid workforce. Supporting Ontario's non-profit organizations is an important part of the government's Open Ontario plan to grow key sectors of the economy and create a climate where business can thrive.

Quick Facts

  • The previous Corporations Act, which governed not-for-profit organizations was enacted in 1907 and last substantially updated in 1953.
  • Ontario's volunteers contribute over 800 million hours a year.

Background Information

Additional Resources


“Almost eight million Ontarians volunteer their time and effort to help not-for-profits relieve poverty, advance education, strengthen medical research, share faiths and build communities. The Not-for-Profit Corporations Act will strengthen a sector that offers so much to so many.”

John Gerretsen

Minister of Consumer Services

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