ASSOCIATION LAW

An association is a group of individuals united for a common purpose. The highest authority is typically a general assembly where all members can participate and vote.

The right to freely form associations is protected by law. Generally, you decide whether to join an association, but in certain types, like homeowner associations and condominium associations, membership may be mandatory.

ZT Legal Group can provide advice on the specific rules governing the formation, registration, and operation of associations internationally, and assist in developing and restructuring activities as well as advising on organizational and financial aspects of associations.

THE STATUTES ARE KEY

Association rules are based on common practices in associations. Each association has the freedom to set its own rules, meaning the statutes determine the governing principles. Therefore, it is crucial to ensure that the association has clear statutes that address potential issues and conflicts within the organization.

Members are obligated to follow the association’s statutes and the legal decisions made during regular and extraordinary general assemblies.

FOUNDATIONS AND ASSOCIATIONS

Internationally, it is common to establish a foundation in connection with an association. The foundation supports the association’s activities with funds from business operations, investments, and donations. Establishing a foundation ensures a clear separation between the commercial activities of the foundation and the cultural, sports, or other activities of the association.