Act No. 49 / 1959 Coll.

Act on Single Agricultural Cooperatives

Valid Effective from 01.10.1959
49
Law
of 9 July 1959
on uniform agricultural cooperatives
The National Assembly of the Czechoslovak Republic decided on the following Act:
Preliminary provisions
§ 1
The aim of the Act is to contribute to the further consolidation and development of uniform agricultural cooperatives ("cooperatives') in the interests of the continuous expansion of agricultural production on the basis of progressive science and technology, and to the extensive mechanisation of the continuous increase in production intensity, labour productivity and cost reduction, in the interests of the continuous increase in the material and cultural level of cooperative peasants and all working people, in the gradual elimination of significant differences between the city and the village, and in the interests of the completion of the socialist construction of our country and the gradual transition to a communist society.

Část první

Main principles of agricultural cooperatives
§ 2
(1) The cooperatives form an integral part of our socialist establishment.
(2) The cooperatives are built by voluntary decision of their members.
§ 3
(1) Cooperative democracy applies in particular to enable each member of the cooperative (the cooperative) to participate actively and actively in cooperative proceedings.
(2) Cooperatives, as operators of the cooperative, manage their own affairs through a member meeting and other cooperative bodies in accordance with the laws, statutes and political and economic guidelines of the Party and the Government; the decisions and measures of the cooperative bodies are binding on the cooperative members.
§ 4
Social relations in the cooperative shall be established and developed on the basis of an effective combination of the interests of the cooperative members, the cooperative and the whole company in order to subordinate partial interests to the interests of the whole.
§ 5
(1) The principle of planning applies in the cooperative's activities.
(2) The cooperative authorities are obliged to ensure the planned development of cooperative agricultural production.
(3) The cooperative plans are based on the State Plan for the Development of the National Economy and ensure its tasks.
§ 6
(1) The distribution of the results of the cooperative's management is carried out in accordance with the interests of the whole company, cooperative and cooperative.
(2) Each cooperative participates in the work of the cooperative and the results of the joint management according to the principle of "each according to his or her abilities, each according to his or her work." The consistent application of this principle is the basis of the material interest of cooperatives and cooperatives in increasing and reducing agricultural production.
§ 7
(1) In all their activities, cooperatives and cooperative authorities are obliged to protect and enhance assets in socialist cooperative ownership and other assets used by the cooperative.
(2) The State provides universal assistance to the development and increase of the level of socialist cooperative ownership.

Část druhá

The formation of the cooperative and its nature
§ 8
The formation of the cooperative
(1) The cooperative shall be established on the date on which the setting-up meetings of working peasants and other candidates for membership of the cooperative shall be decided on the establishment of the cooperative; the validity of this resolution requires the approval of the Council of the District National Committee.
(2) There is usually only one cooperative in the municipality; the exemption is authorised by the Council of the District National Committee after consultation with the Board of the Local National Committee.
§ 9
Nature of the cooperative
(1) The cooperative is a people's cooperative and a socialist legal person.
(2) The cooperative may only assume commitments which are in line with its production, economic and other social activities and with the performance of its tasks, in particular those laid down in the Statutes.
§ 10
Cooperative name
The name of the cooperative must explicitly indicate that it is a single agricultural cooperative and the seat of the cooperative.
§ 11
Model Statutes of Single Agricultural Cooperatives
The National Assembly of Unified Agricultural Cooperatives shall act on the draft model statutes of Unified Agricultural Cooperatives (hereinafter referred to as "the model statutes'). The model statutes are approved by the government. The model statutes are a binding basis for drawing up the own statutes of cooperatives.
§ 12
Statutes of cooperatives
(1) Each cooperative shall, within 6 months of its establishment, draw up its own statutes in accordance with the model statutes and submit them to the Council of the District National Committee for approval. As long as the statutes are not approved, the cooperative will follow the model statutes.
(2) The Cooperative shall, within six months of the publication of the supplements and amendments to the model statutes, draw up, in accordance with them, additions and amendments to its own statutes and submit them to the Council of the District National Committee for approval; until approved, the cooperative shall comply with the provisions of the supplements and amendments to the model statutes.
(3) If the cooperative agrees to supplement or amend its own statutes on its own initiative, it shall also be required to submit them for approval to the Council of the District National Committee within 15 days of the resolution of the member meeting.
(4) The Council of the District National Committee will decide on the approval of the statutes of the Cooperative, their supplements and amendments after the advice of the Local National Committee has been given. The approval shall make the statutes of the cooperative, its additions and amendments binding. The approved Statutes, their additions and amendments shall be registered by the management authority of the District National Committee.
(5) Exemptions from the individual provisions of the model statutes for individual cooperatives may, in particular justified cases, be authorised by the Ministry of Agriculture.
Subject matter
§ 13
(1) The main object of the cooperative's activities is socialist agricultural production.
(2) The cooperative also operates forest management in the forests of the cooperative and in the woods of the cooperative.
(3) For the purpose of forest management, only single agricultural cooperatives may be brought together.
(4) For the development of agricultural production and forestry, the cooperative is to involve all its members as effectively as possible in the work and to exploit natural conditions and production and finance. In particular, the cooperative is to make full and effective use of agricultural land and to ensure that its fertility is increased.
§ 14
(1) In order to develop agricultural and forestry production, to make better use of the means of production and to fully implement the work of members, the cooperative may operate auxiliary economic sectors and associated production. This activity must not be used for private business and its operation must not jeopardise the core activities of the cooperative.
(2) The scope of the activity referred to in paragraph 1 shall be determined by the implementing rules and statutes of the cooperative.
§ 15
(1) The Cooperative shall draw up long-term plans and annual production plans on the basis of the tasks arising from the National Economy Development Plan and according to the natural and economic conditions and farming of the Cooperative. The Board of Cooperatives shall present the plans before discussing and adopting their membership meetings to the Board of the National Committee. The plans thus discussed and adopted by the membership meeting shall be approved by the Council of the District National Committee. The cooperative authorities shall continuously monitor the implementation of the plans.
(2) The cooperative shall keep the required initial and accounting records, submit statements and carry out economic analyses of its economy.
§ 16
Cooperative care
(1) The cooperative shall provide general care for the cooperative members, in particular for their political and professional education and their safety at work. The cooperative therefore creates favourable working, living and cultural conditions, including housing, for all cooperative members, in particular for working women, mothers and their children and elderly members; It also uses social and cultural funds in particular for the establishment of common social and cultural facilities.
(2) In particular, the cooperative focuses on obtaining young people for work in cooperative agriculture and, in order to ensure a professional upbringing, the cooperative takes care of apprenticeship education.

Část třetí

Cooperative authorities
§ 17
(1) Cooperatives shall manage and manage the cooperative's affairs through meetings and other elected bodies. The highest body of the cooperative is the membership meeting. The other bodies of the cooperative shall be the Chairman and the Board of Directors, as executive bodies and the review committee, as the supervisory body of the cooperative or, where appropriate, other bodies, if the model statutes or specific regulations permit.
(2) The members' meetings and the Board of Directors may set up their auxiliary and advisory committees to assist them in the performance of their tasks.
§ 18
Members' meeting
(1) The members' meeting may decide on all matters relating to the cooperative; As a rule, it only decides on serious issues.
(2) The members' meeting may not delegate to other cooperative bodies the powers which are solely incumbent upon it under the model statutes or other provisions, as the case may be.
(3) The members' meeting shall act by public vote. When voting, each cooperative present at a member meeting shall have one vote.
§ 19
Board of Directors
The Board of Directors shall direct the normal activities of the cooperative and decide on all matters which are not expressly reserved for other bodies. In exceptional cases of urgency, the Board may also decide on questions the decision of which is expressly reserved for a member meeting; Such decisions of the Board shall require additional approval by the next meeting.
§ 20
The President
The Chairman shall direct and act on behalf of the cooperative on a daily basis. The chairman of the cooperative is also chairman of the board.
§ 21
Revision Commission
(1) The Revision Commission is the supervisory body of the cooperative, independent of its Board of Directors and the President; shall be responsible only for the members' meeting.
(2) The Revision Committee checks all, in particular the production, economic and financial activities of the cooperative and its bodies, and for this purpose carry out individual revisions and verifications in accordance with the provisions of the Statutes.
(3) The Revision Commission checks, at each revision and verification, in particular whether the cooperative's authorities and officials comply with the laws and regulations in the management of cooperative matters, the statutes of the cooperative, the rules of employment, the resolutions of the member meetings, and whether they ensure the protection of cooperative property and respect for the principle of cooperative democracy.
(4) The review committee will discuss the deficiencies identified and the proposals for measures to eliminate them with the Board of Directors. If the Board does not address the deficiencies in good time or does not agree with the proposed measures, the review committee shall present the deficiencies identified and the proposals for measures to remove them to the membership meeting for a decision, and the chairman of the cooperative shall immediately convene a membership meeting and invite representatives of the Executive Authority of the District National Committee.
§ 22
(1) The provisions of the Statutes and, where appropriate, specific provisions lay down the details of the competence of the cooperative's bodies, their composition, choice, negotiation and decision-making.
(2) The Ministry of Agriculture may issue standard rules of procedure for single agricultural cooperatives and, in agreement with the Ministry of Finance, lay down the rights and obligations of the accountants in cooperatives.

Část čtvrtá

Allocation of land and other means of production
§ 23
(1) Cooperatives are obliged to pool land, including forest land, and to transfer other production resources to joint cooperative management in the scope and under the conditions laid down in the Statutes.
(2) A cooperative may only dispose of or burden its land in cooperative use in exceptional cases and only with the consent of the cooperative.
(3) The provisions on real estate transfers and land leases remain unaffected.
§ 24
Law on cooperative land use
(1) The ownership of land associated with the joint cooperative management is maintained.
(2) The right of cooperative use is attached to the land associated with the joint cooperative management and to the land for which the economic treatment of the land was carried out.
(3) The right of cooperative use entitles the cooperative to use the land to the same extent that it would belong to the owner; The cooperative cannot, however, burden or dispose of the land. In particular, the cooperative has the right to change its substance and draw from it and to carry out construction on it. The right of cooperative use also authorises the assignment of land as a cover to the family of the cooperative. Only a cooperative may lease the combined land and only in justified exceptional cases.
Cooperatives of other means of production
§ 25
A live and dead inventory, seed and seed, fodder and farm buildings, handed over by the cooperative to joint cooperative management, shall be transferred to the ownership of the cooperative. The extent of the compensation for the property thus surrendered and the manner in which it is to be charged shall be governed by the model statutes.
§ 26
If a craftsman joins the cooperative, he is obliged to submit to the joint cooperative management his means of production and supplies to operate the craft if the cooperative needs them. The funds surrendered shall be transferred by surrender to the property of the cooperative. The provisions of the model statutes on compensation for live and dead inventory shall apply mutatis mutandis.

Část pátá

Organisation of work and remuneration for work
§ 27
(1) The cooperative shall perform all the work in person within the cooperative.
(2) The cooperative may, exceptionally, also employ workers under the conditions laid down in the model statutes and in specific regulations.
(3) Basic relations with the organisation of work in the cooperative are governed by the model statutes.
§ 28
(1) The details of working relations within the cooperative are laid down in the Conditions of Employment, which the cooperative shall draw up in accordance with the model conditions of employment and shall be approved at the meeting.
(2) The Model Conditions of Employment shall be issued by the Ministry of Agriculture.
§ 29
(1) The remuneration for working in the cooperative is governed by the quantity, quality and social importance of the work carried out.
(2) The cooperative shall, according to its terms and conditions, adapt and approve its own performance standards in accordance with the model performance standards and the most appropriate method of remuneration for work in accordance with the guidelines on remuneration for work in the cooperative.
(3) The guidelines on remuneration for cooperative work and the model of performance standards are issued by the Ministry of Agriculture. Exemptions from standard performance standards are authorised by the management authority of the District National Committee.

Část sedmá

Mutual cooperation between cooperatives
§ 31
(1) Cooperatives may combine their material and financial resources as well as the work of their members to carry out more effectively the economic activity which is in the interest of developing their agricultural production. This is done in particular by means of joint operation of auxiliary economic sectors, associated production and agricultural investment construction. Cooperative cooperation is a guiding principle of this joint economic activity in order to develop production forces and agricultural relations and raise the standard of living of cooperatives.
(2) The mutual relations of cooperatives in the joint economic activity are governed by the Treaty.
(3) The scope and nature of the joint economic activity of cooperatives must not prejudice the development of the agricultural production of the participating cooperatives.
§ 32
Lower forms of cooperative cooperation
Cooperatives may agree that one cooperative may delegate the other use of its means of production, provide it with work or services, or send its members to another cooperative to perform certain work there under its direction. Several cooperatives may agree to cooperate with each other.
§ 33
Joint cooperative undertaking
(1) The higher form of economic cooperation between cooperatives is joint cooperatives of single agricultural cooperatives (hereinafter referred to as "the undertaking") which may establish cooperatives for the joint operation of economic activities of a more permanent nature.
(2) Cooperatives and other socialist organisations are members of the enterprise. A natural person may not be a member of an undertaking.
(3) The company is a separate socialist legal entity.
(4) The provisions of Act No. 53 / 1954 Coll., on People's Cooperatives and on Cooperative Organisations, do not apply to undertakings. The undertakings are not subject to Act No. 69 / 1958 Coll., on Economic Relations between Socialist Organisations; However, in agreement with the central authorities involved, the Minister for Agriculture may determine which of its provisions apply to undertakings.
§ 34
Establishment of a joint cooperative enterprise
(1) In order to establish an undertaking, written contracts for the establishment of the undertaking, approved by the membership meeting of each participating cooperative, and if it is another socialist organisation, approved by its supervisor. Two thirds of the cooperative members are required to be present for the validity of the resolution of the Cooperative Member Meeting approving the conclusion of an agreement establishing an undertaking or joining the undertaking.
(2) In order for a contract to establish an undertaking (paragraph 1), the approval of the Council of the District National Committee is required if the cooperatives are located in different counties of the same county of the Regional National Committee and if the cooperatives are located in different counties of the Regional National Committee, the head office of which will be situated.
§ 35
Name of joint venture
The name of the holding must be derived from the activity of the holding and must include a designation that it is a joint venture of single agricultural cooperatives and the registered office of the holding.
§ 36
Management of the joint cooperative enterprise
(1) The enterprise operates according to long-term and annual plans and budgets.
(2) The members of the undertaking are obliged to contribute to the payment of any losses reported in the company's annual accounts and to the payment of the deficit recorded on its cancellation, but not more than the amount laid down in the implementing rules.
§ 37
Repeal of the joint venture
The undertaking may be abolished by decision of the authority which gave its consent to its establishment (§ 34 (2)).
§ 38
(1) The provisions implementing the provisions of this Part, in particular as regards the establishment, subject-matter, organisation, management, rights and obligations of the participating cooperatives, or other socialist organisations, the distribution of the results of the business, the demise and liquidation of the undertaking and the extent of the liability of the members for its obligations, shall be issued by the Ministry of Agriculture, as appropriate, in agreement with the participating central authorities and authorities.
(2) The Ministry of Agriculture may, in agreement with the participating central authorities and authorities, provide for other forms of cooperative cooperation and its organisational forms; the services referred to in this Regulation may be established as separate legal entities.

Část osmá

Protection of cooperative management and assets
§ 39
(1) It is a leading duty for cooperative bodies to lead cooperatives to socialist awareness in all cooperative management relations in order to avoid damage to property in socialist cooperative ownership and in cooperative use. This also serves the moral and material interest of the cooperative on the outcome of his work, on compliance with cooperative discipline, responsibility for the damage caused and disciplinary action.
(2) Cooperatives are obliged to protect the cooperative economy and to do whatever is necessary to avert or reduce the damage already suffered.
Compensation
§ 40
(1) If a cooperative is negligently liable to damage the cooperative in connection with the performance of its member duties, it shall be obliged to replace it under this law.
(2) The cooperative must prove fault to the cooperative, unless otherwise specified.
§ 41
(1) If the cooperative is negligent, it is obliged to replace the cooperative with the actual damage, but not what it has missed.
(2) If more than one cooperative is responsible for the damage caused to the cooperative, the amount of compensation shall be determined for each individual according to the extent of its fault. The court shall not be bound by the pleas of the parties when deciding on the amount of the shares of the cooperative members in the compensation.
(3) The amount of compensation may not exceed, for an individual cooperative, an amount equal to half of his annual income from the cooperative for the last year before the finding of damage.
(4) In justified cases, the amount of compensation may be determined by an amount lower than the actual damage or, where appropriate, half of the annual income of the cooperative in the last year prior to the determination of the damage, and, in the event of a slight fault, the compensation may be waived.
(5) In determining the amount of compensation, account shall be taken, in particular, of the cooperative's relationship with work and of the cooperative's ownership, of its class of origin, of the degree of guilt, of the social importance of the damage, of the personal characteristics of the cooperative and of its economic circumstances.
§ 42
(1) The amount of compensation to be claimed shall be determined and the reduction or remission of compensation shall be decided by the member meeting. If there is a reduction or remission exceeding 500 CZK, the approval of the Executive Authority of the District National Committee shall be required.
(2) If the cooperative recognises an obligation to make good the damage in writing, the cooperative shall pay its claim within the limits laid down by the rules on the execution of the salary deducted from the cooperative's occupational income; otherwise the cooperative shall exercise its claim in court.
§ 43
(1) If the cooperative was negligently responsible for the damage also caused by an institution, an official or representative of the cooperative in the performance of their duties, the cooperative is obliged to make good the damage to the extent that it is guilty. The part of the damage that the cooperative would not be obliged to make up for in this way will be claimed by the cooperative against the co-perpetrator. If there are more than one, their liability shall be governed by the provisions of Paragraph 41 (2).
(2) If the damage was not caused by negligence exclusively by the cooperative, since it was co-operated by the cooperative for which the cooperative was responsible without its fault, the cooperative shall also be obliged to make good the damage according to the extent of its fault.
§ 44
The cooperative shall not be liable for the damage caused to the cooperative in extreme need in order to turn away from itself, its co-workers, or from the cooperative in danger.
§ 45
(1) If the cooperative is responsible for the values entrusted to the accounting by a special written contract, it shall be responsible for the deficit incurred; that liability shall be released in whole or in part if it proves that the deficit has been created in whole or in part without fault.
(2) A special written contract may only be concluded if the cooperative has created appropriate working conditions for the cooperative. This contract may be limited, under working conditions, to certain values entrusted to account.
(3) A cooperative who has been entrusted with the values to be settled by a special written contract is obliged to make good the actual damage, if he is responsible for it, in full. Paragraph 41 (3) and (4) shall not apply in such cases. The compensation may be reduced only by the court according to the principles set out in Paragraph 41 (5).
(4) If the cooperative is not liable for the values entrusted to the accounting by a special written contract, it shall be liable for the damage if the cooperative proves that it is guilty and only within the scope of Paragraph 41 (3) and (4).
§ 46
If the cooperative causes damage intentionally or in drunkenness, it shall be liable under the Civil Code. It is therefore obliged to compensate not only for the real damage, but also for what the cooperative has missed. In this case, the cooperative is not entitled to compensation or to reduce or forgive.
§ 47
Pricing measures
(1) Cooperatives are required to comply with cooperative discipline.
(2) A cooperative who has committed a serious or repeated infringement of cooperative discipline may impose on the competent cooperative authority certain of the measures referred to in the model statutes. In addition to this punitive measure, or in its place, if the statutes allow it, the guilty cooperative may be denied, in whole or in part, benefits granted by the social or cultural fund, except for benefits which the cooperative must provide under the model statutes or other rules.
(3) Cases of petty theft and other intentional damage to cooperative property may be prosecuted as a criminal offence under the conditions laid down by Act No. 24 / 1957 Coll., on the prosecution of the theft and damage of property in socialist property.
(4) The proceedings referred to in paragraphs 2 and 3 shall be carried out by the Board of Directors and, if it is a member of the Board of Directors or a review committee, by a member meeting.

Část devátá

Relations between cooperatives and the State
§ 48
(1) Socialist cooperative agriculture forms an integral part of our socialist economic system.
(2) The cooperatives will adapt their production economic activity, expressed in their plans, to the needs of the planned development of the national economy and are obliged to make full use of their natural, material and financial resources to expand the reproduction of their production and to continuously increase and reduce agricultural production.
(3) The cooperatives ensure the production and supply of agricultural products by increasing supply of working food and industry with raw materials.
(4) The cooperatives shall, as a matter of priority, fulfil obligations towards the State, in particular supplies, taxes, fees, credit obligations and insurance premiums.
§ 49

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Regulation Information

CitationAct No. 49 / 1959 Coll., on Uniform Agricultural Cooperatives
Regulation Type-
Author-
CollectionCode of Laws
Date of Promulgation24.07.1959
Effective from01.10.1959
Effective until-
Status Valid
The regulation text is for informational purposes only.
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