Smart Employee Benefits Adopts Advance Notice By-Law

TORONTO, ONTARIO--(Marketwired - April 17, 2014) - Smart Employee Benefits Inc. ("SEB" or the "Company") (TSX VENTURE:SEB) announced that the board of directors of SEB (the "Board") has approved the adoption of an advance notice by-law (the "Advance Notice By-law").

The Advance Notice By-law sets forth provisions requiring advance notice to the Company in circumstances where nominations of persons for election to the Board are made by shareholders of the Company other than pursuant to: (i) a "proposal" made in accordance with the Business Corporations Act (Ontario) (the "Act"); or (ii) a requisition of the shareholders made in accordance with the Act. In particular, the Advance Notice By-law fixes a deadline by which holders of record of common shares of SEB must submit director nominations to the Company prior to any annual or special meeting of shareholders and sets forth the specific information that a shareholder must include in the written notice to the Company for an effective nomination to occur. No person will be eligible for election as a director of the Company unless nominated in accordance with the provisions of the Advance Notice By-law.

The purpose of the Advance Notice By-law is to provide a clear and transparent process for all shareholders to follow if they intend to nominate directors. The Advance Notice by-law provides a reasonable time frame for shareholders to notify the Company of their intention to nominate directors.

In the case of an annual meeting of shareholders, notice to the Company must be made not less than 30 nor more than 65 days prior to the date of the annual meeting of shareholders; provided, however, that in the event that the annual meeting of shareholders is to be held on a date that is less than 50 days after the date on which the first public announcement of the date of the annual meeting was made (the "Notice Date"), notice by the nominating shareholder may be made not later than the close of business on the tenth (10^th) day following the Notice Date.

In the case of a special meeting (which is not also an annual meeting) of shareholders called for the purpose of electing directors (whether or not called for other purposes), notice to the Company must be made not later than the close of business on the fifteenth (15^th) day following the day on which the first public announcement of the date of the special meeting of shareholders was made.