Act No. 53 / 1954 Coll.
Law on People's Cooperatives and Cooperative Organisations
Valid
Effective from 01.01.1955
Contents
§ 1.
Část I.
Oddíl 1.
§ 2.
§ 3.
§ 4.
Oddíl 2.
§ 5.
§ 6.
§ 7.
§ 8.
§ 9.
§ 10.
§ 11.
§ 12.
§ 13.
Oddíl 3.
§ 14.
§ 15.
§ 16.
§ 17.
§ 18.
§ 19.
§ 20.
§ 21.
§ 22.
§ 23.
§ 24.
§ 25.
§ 26.
Oddíl 4.
§ 27.
§ 28.
§ 29.
§ 30.
§ 31.
Oddíl 5.
§ 32.
§ 33.
§ 34.
§ 35.
§ 36.
§ 37.
§ 38.
Část II.
Hlava I.
Oddíl 1.
§ 39.
§ 40.
§ 41.
§ 42.
§ 43.
§ 44.
§ 45.
§ 46.
Oddíl 2.
§ 47.
§ 48.
Oddíl 3.
§ 49.
§ 50.
§ 51.
Oddíl 4.
§ 52.
§ 53.
Hlava II.
§ 54.
§ 55.
§ 56.
Část III.
§ 57.
§ 58.
§ 59.
§ 60.
§ 61.
§ 62.
§ 63.
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53.
Law
of 27 October 1954
about people's cooperatives and cooperative organisations.
The National Assembly of the Czechoslovak Republic decided on the following Act:
Initial provision.
People's cooperatives, which are formed by voluntary association of workers, help their economic activities and cultural political work to socialist construction, increase the material well-being and cultural level of members and other working people. In order to facilitate their work, people's cooperatives create cooperative organisations that ensure and assist the performance of their tasks, defend the interests of the cooperative movement and take care of its versatile development.
_
The legal nature of cooperatives, statutes and formation of cooperatives.
The legal nature of the cooperatives.
People's cooperatives ("cooperatives') are socialist legal entities; they are registered in the company register.
Statutes.
(1) Details of the legal situation of cooperatives, in particular the rights and obligations of members, the bodies of cooperatives and the activities and management of cooperatives, are laid down in the statutes approved by the general meeting of cooperatives.
(2) The statutes of cooperatives must provide for:
(a) the name, address and scope of the cooperative; the name must show that it is a folk cooperative;
(b) the subject-matter of the activity;
(c) the conditions under which membership is acquired and withdrawn;
(d) the rights and obligations of the members;
(e) the amount of the members' shares and the manner in which they are formed;
(f) the composition of the cooperative bodies, their competence and the manner in which they act;
(g) the way in which members of the cooperative are convened;
(h) the way in which profits are treated and the way in which losses are paid.
The formation of the cooperative.
To form a cooperative:
(a) approval of the statutes establishing the general meeting;
(b) the election of the cooperative authorities;
(c) the consent of the relevant central association of cooperatives and, failing that, the consent of the Central Council of Cooperatives.
Establishment and termination of membership; the rights and obligations of the members.
The emergence of membership.
(1) Any working citizen who completed the 16th year may become a member of the cooperative. The statutes may contain derogations, in particular to determine that members of the cooperative may also be legal persons.
(2) A request for admission as a member must be made in writing. It shall be decided by the general meeting.
(3) The Statutes may delegate the admission of members to another body. If that authority rejects a request for admission as a member, it shall notify the applicant of a reasoned decision against which it may be appealed to the nearest general meeting.
(4) The cooperative shall keep a list of members.
No membership.
The membership of the cooperative shall cease:
(a) death of a member (death of a legal person);
(b) the performance of a member;
(c) the exclusion of a member;
(d) withdrawal of membership.
(1) A member may withdraw from the cooperative after prior notice; the notice period shall be determined by the statutes.
(2) A member may be excluded from the cooperative only if he is in breach of the statutes or decisions of the cooperative's bodies or if there are other reasons set out in the statutes, for serious reasons, and if neither the prior admonition nor the written warning can be rectified.
(3) If a member of the cooperative does not fulfil his or her duties without his or her guilt, his or her membership may be revoked.
(4) The general meeting decides on the exclusion and withdrawal of membership, unless otherwise provided for in the statutes. An appeal may be lodged against a decision to exclude or revoke a member to a superior cooperative organisation within 15 days of its delivery. If the Board of Directors of the Cooperative Board has decided, the appeal must first be dealt with by the General Meeting or by a member meeting. It shall have suspensory effect at the time of the appeal.
Rights and obligations of members.
In particular, a member of the cooperative shall have the right:
(a) to take part in decisions on cooperative matters;
(b) to vote and be elected to the cooperative bodies;
(c) to participate in the results of the cooperative business, after taking a remuneration for working in the cooperative and, if the statutes so determine, also a share of the profits.
(1) A member's voluntary entry into the cooperative shall express his willingness to maintain cooperative discipline.
(2) In particular, a member of the cooperative shall:
(a) maintain the statutes and follow the decisions of the cooperative bodies as well as the directives of senior cooperative organisations;
(b) to protect and conserve the assets of the cooperative;
(c) to help consolidate and improve the cooperative's economy.
(1) Members of production cooperatives are obliged to work for the cooperative in accordance with the instructions of its authorities. The production cooperative shall, unless exceptional circumstances so rule out, employ a member by works which correspond to his or her abilities and expertise.
(2) The detailed arrangements for this obligation of members of production cooperatives and the right to remuneration include the rules of employment of the cooperative, approved by the General Meeting. The conditions of employment shall also specify what measures a cooperative may take if a member violates his duty to work in a cooperative. It may also determine the manner in which disputes between the cooperative and its members concerning that obligation and the right to remuneration shall be decided.
(1) Each member of the cooperative shall be obliged to pay the registration fee and at least one share; the details are determined by the statutes.
(2) A member's share cannot be transferred to another person and cannot be enforced.
(1) If membership of the cooperative continues, the member may not request repayment of his share.
(2) If membership of a cooperative is lost, the former member has a right to reimbursement of the amount corresponding to the member's share, after having increased by a share of the profits or reduced by a share of the loss, if there is no membership of the cooperative. This amount shall be determined on the basis of the accounting statement at the end of the year in which membership has ceased and shall be due within one month of the approval of the annual accounting statement. The entitlement to pay this amount shall be limited in three years.
(1) The members of the cooperative are required to contribute to the payment of losses reported in the annual accounts and to the payment of the deficit recorded on the cancellation of the cooperative, but not more than twice the share.
(2) This obligation also prosecutes former members of the cooperative in respect of the loss (deficit) reported in the year in which membership ceased; the heirs of the deceased members only to the extent that the heirs are obliged to fulfil the obligations of the deceased.
Cooperative authorities.
General meeting.
(1) The highest body of the cooperative is the general meeting of members.
(2) Cooperatives with a large number of members and cooperative members whose members live in several places may be designated in the Statutes as meeting of delegates elected by the members instead of the general meeting of members; the provisions on the General Assembly of Members shall apply mutatis mutandis to the Assembly of Delegates.
(1) The General Meeting is convened by the Board of Directors of the Cooperative Group in the manner prescribed in the Statutes. If this method cannot be maintained, it shall determine the way in which the general meeting shall be convened by the cooperative organisation supervisor.
(2) The General Meeting shall be held at least once a year.
(3) The Board of Directors shall also convene the General Assembly if it so requests in writing, stating the reasons for the part of the members designated in the Statutes, the review committee or the superior cooperative organisation. If the Board does not comply without undue delay, it shall be entitled to convene the general meeting of the superior cooperative organisation.
The General Assembly shall decide on any serious matter of the cooperative; unless otherwise provided in the statutes, it shall in particular be responsible for:
(a) approve the statutes, rules of procedure and, in the case of the working conditions of the cooperative, amendments thereto;
(b) receive and exclude members of the cooperative as well as revoke membership;
(c) elect and withdraw members of the board and review committee (their alternates);
d) elect delegates for meetings of senior cooperative organisations;
(e) approve the cooperative's economic and financial plans and determine the principles of action for the coming period;
(f) approve the cooperative's annual accounts and decide how to make a profit and how to pay losses;
(g) to discuss and approve reports by the Board of Directors and the review committee on the activities of the cooperative, as well as reports on the revision of the cooperative by the superior cooperative organisation;
(h) to decide on complaints and appeals against decisions and measures of the Board of Directors and the Review Commission;
ch) Resolve on the abolition and merger of the cooperative.
(1) A general meeting may be held if at least half of the members of the cooperative are present. An absolute majority of the votes cast shall be required for the validity of the resolution; However, a minimum of two thirds of the majority is required for the resolution on the cancellation or merger of the cooperative.
(2) When voting, each member shall have one vote, irrespective of the number and size of the shares.
(3) The General Assembly may decide only on matters which were notified at its meeting.
It may be established in the Statutes that if there is not a sufficient number of members at the time of the opening of the general meeting, a new general meeting with the same order may be held after a certain period of time, which is capable of quorum even if there are fewer members present. If this option is to be used, members must be brought to the attention of the General Assembly when convened.
Membership meeting.
(1) In the period between general meetings, the Board of Directors of the Cooperatives shall convene the members' meetings (delegates' meetings).
(2) The scope, the way in which the member meetings (delegates' meetings) are convened and held are determined by the statutes. At these meetings, it is not possible to decide on the statutes of the cooperative, on how to make a profit, on how to pay the loss, on the cancellation and on the merger of the cooperative.
Board of Directors.
(1) The Board of Directors (Committee) manages the activities of the cooperative and decides on all matters which are not reserved for another body by law or statute. The Board of Directors shall implement the resolution of the General Meeting (members' meetings) and shall follow its instructions. The limitation of the powers of the Board of Directors, given by the General Meeting or by the Statutes, shall not affect third parties unless they are known.
(2) The Board of Directors shall elect a chairman and a representative from among its members. The statutes may reserve the election of the President of the General Assembly.
The Revision Committee.
(1) In each cooperative, at least three members of the review committee shall be elected, which shall, in particular, supervise the activities of the Board, oversee compliance with the cooperative plan, carry out a review of cash in cash, cooperative assets, documents and accounting documents.
(2) The Revision Board shall report to the Board on the results of the cooperative's management and on the implementation of the plan, as well as proposals to address the deficiencies identified. report to the General Assembly at least once a year on its activities.
(3) If the Board of Directors does not remove the serious deficiencies identified in the cooperative's activities within the deadline set by the review committee, the Board is required to request the Board of Directors to convene a general meeting and, at the same time, to draw attention to these deficiencies to the superior cooperative organisation.
Other organs.
The cooperative may set up other bodies whose composition, method of establishment and scope are defined by the Statutes for the performance of the sub-tasks.
Choice of board and review committee.
(1) The members of the Board of Directors and the review committee and their alternates are elected by the general meeting of the members of the cooperative. The Statutes shall determine the number of members (alternates) of the Board of Directors and the review committee, the conditions for their choice and the period for which they are elected. The Statutes may allow the addition of the Board of Directors or of the Review Committee to conduct meetings between general meetings.
(2) The General Assembly may at any time withdraw the Board of Directors, the review committee or their individual members if they do not fulfil their duties properly.
Responsibility of board members and review committee.
(1) The members of the Board of Directors and the review committee are required to carry out their tasks with due care to the proper economy. They are responsible for their activities to the general meeting.
(2) Members of the Board of Directors or of the Review Committee who, by violating their duties, cause damage to the cooperative shall be liable for it by common and non-discriminatory hands.
The team's representation.
The Cooperative shall represent, act on his behalf and be signed by the President (his representative) and one member of the Board of Directors. In addition, the persons empowered by the Board may act on behalf of the cooperative to the extent of the authorisation granted.
Rules of procedure and protocols.
(1) Details of the composition of the cooperative's bodies, the manner in which they act and decide may, within the limits of the law and the statutes, be laid down in the rules of procedure of the cooperative, approved by the General Meeting.
(2) The essential points of the negotiations and all decisions of the cooperative bodies shall be entered in the books of the protocols.
Activities and management of cooperatives.
Subject matter.
(1) Cooperatives may undertake all activities within the framework of the applicable rules and statutes to enable them to fulfil their tasks.
(2) The cooperatives do not need the authorisation that would otherwise be required to start a business under the applicable rules. However, cooperatives are subject to rules on the approval of establishments as well as regulations on the protection of the lives and health of workers and on general safety.
Company management.
(1) The cooperatives are governed by the principles of the socialist economy. Their activities shall be determined by a plan drawn up in accordance with the tasks of the national economic development plan. By organising their activities effectively, making full use of all resources and economy, cooperatives aim to achieve the best possible achievement of their tasks in the continuous increase in labour productivity and reduction of their own costs. They rely on the conscious efforts of their workers, in particular on socialist competition.
(2) In addition to the general rules, details of the management of cooperatives are laid down in their statutes and directives of senior cooperative organisations.
(1) The cooperative's own funds consist of: registration fees, membership shares and other revenue. In accordance with the needs and tasks of the cooperative, funds shall be established from their own resources.
(2) The cooperatives shall also use bank loans, as appropriate, within the limits of the applicable rules, after the fund loan for that purpose for cooperatives set up.
The acquired profits of the cooperative shall apply in particular to the allocation of funds, the payment of profit shares to members, the premium of the best employees of the cooperative, the compensation of members of the cooperative bodies and the cultural facilities of the cooperative.
(1) According to the decision of the General Assembly, the loss of the cooperative shall either be paid from the cooperative's funds or shall be allocated to individual members of the cooperative (§ 13).
(2) The general meeting shall also decide whether and how the members are to complete their shares if they reduce their losses.
Cancellation and merger of teams.
Abort the teams.
The following shall be deleted:
(a) by a resolution of the General Assembly requiring the approval of the Central Association of Cooperatives;
(b) by a decision of the Central Cooperative Association, where the cooperative is grossly in breach of the obligations imposed on it by law, by the Statutes, by the State Plan for the Development of the National Economy, or where the general interest so requires;
(c) the execution of all assets of the cooperative.
(1) In the cases referred to in Sections 32 (a) and 32 (b), the arrangement of the assets (liquidation) of the deleted cooperative must be carried out.
(2) The liquidators elected by the general meeting, following the designation of the cooperative organisation which has abolished the cooperative, are to be liquidated. may be withdrawn at any time.
(3) During the period of liquidation, the cooperative uses its name with a supplement indicating liquidation. Where liquidators are appointed, the Board shall cease to act; on behalf of the cooperative, liquidators shall act together, unless otherwise specified. The liquidators shall be liable by hand for the common and non-different damage caused by the breach of their duties to the cooperative or its creditors.
(4) If liquidators are not designated, the winding-up of the repealed cooperative will be carried out by its board of directors.
(1) The task of liquidators is to complete the negotiations that are in progress, to monetize the assets of the cooperative, to satisfy the creditors of the cooperative and to return the shares to members.
(2) The liquidators shall draw up a balance sheet as soon as they commence their operations. If it implies that the assets of the cooperative are not sufficient even after the payment of the members' obligations (Paragraph 13) to settle the cooperative's obligations, the liquidators shall submit a proposal for the execution of the cooperative's assets and inform the senior cooperative organisation accordingly.
(1) The members' shares may not be recovered until all the creditors of the cooperative have paid or secured their claims. If the cooperative's assets are not sufficient to fully cover the members' shares, they shall be paid in proportion to their amount.
(2) The assets remaining after the payment of all the cooperative's liabilities, the repayment of the members' shares and the payment of the liquidation expenses are to the central association of cooperatives.
(3) At the end of the liquidation, liquidators shall report to the general meeting, to the cooperative organisation which has decided to abolish the cooperative and propose the deletion of the cooperative from the company register.
Combining teams.
(1) By order of their general meetings, the cooperatives may merge with the approval of the Central Association of Cooperatives without liquidation.
(2) If the general interest so requires, the merger of cooperatives may be carried out by a central association of cooperatives, following a prior hearing of the merged cooperatives and their superior associations.
(3) The decision to merge cooperatives shall specify the date of the merger.
(1) On the day of the merger, members of the cooperative taken over shall become members of the latter.
(2) The receiving cooperative shall, on the date of the merger of the cooperatives, draw up a balance sheet of the assets of the receiving cooperative and manage the assets separately until the creditors of the receiving cooperative are satisfied or secured.
The provisions on the merger of cooperatives apply mutatis mutandis to the merger of cooperatives with cooperative organisations and to the transfer of individual cooperative establishments to another cooperative or cooperative organisation.
PARTICIPATION ORGANISATIONS.
_
Legal circumstances of cooperative unions.
General provision.
(1) Cooperatives may form associations. Cooperative associations can create higher unions.
(2) Central associations of cooperatives may be created as central organisation for each cooperative sector; the regional authorities for Slovakia are the Slovak associations of cooperatives that are members of the central associations of cooperatives.
(3) Cooperative associations are socialist legal entities. They are registered in the same way as folk cooperatives.
Statutes.
Details of the legal circumstances of the cooperative associations, in particular the rights and obligations of their members, the bodies of the associations, as well as the activities and management of the associations, shall be laid down in the statutes approved by the Convention.
Contents
§ 1.
Část I.
Oddíl 1.
§ 2.
§ 3.
§ 4.
Oddíl 2.
§ 5.
§ 6.
§ 7.
§ 8.
§ 9.
§ 10.
§ 11.
§ 12.
§ 13.
Oddíl 3.
§ 14.
§ 15.
§ 16.
§ 17.
§ 18.
§ 19.
§ 20.
§ 21.
§ 22.
§ 23.
§ 24.
§ 25.
§ 26.
Oddíl 4.
§ 27.
§ 28.
§ 29.
§ 30.
§ 31.
Oddíl 5.
§ 32.
§ 33.
§ 34.
§ 35.
§ 36.
§ 37.
§ 38.
Část II.
Hlava I.
Oddíl 1.
§ 39.
§ 40.
§ 41.
§ 42.
§ 43.
§ 44.
§ 45.
§ 46.
Oddíl 2.
§ 47.
§ 48.
Oddíl 3.
§ 49.
§ 50.
§ 51.
Oddíl 4.
§ 52.
§ 53.
Hlava II.
§ 54.
§ 55.
§ 56.
Část III.
§ 57.
§ 58.
§ 59.
§ 60.
§ 61.
§ 62.
§ 63.
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Regulation Information
| Citation | Act No. 53 / 1954 Coll., on People's Cooperatives and Cooperative Organisations |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 01.12.1954 |
|---|---|
| Effective from | 01.01.1955 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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