Chapter 1

Art. 1 (1) This law shall govern the founding, registration, structure, activities and dissolution of legal persons with non-profit purposes.

(2) Legal persons with nonprofit purposes are associations and foundations.

Art. 2 (1) Legal persons with non-profit purposes can freely determine their purposes and can designate themselves as organizations performing activities for public or for mutual benefit. The designation is made in the statute, articles of incorporation or by an amendment to them.

The designation for performing public benefit activities is irrevocable after the entering of this item in the registry for legal persons with non-profit purposes in the region of the district court at the seat of the legal person with nonprofit purposes.

Organizations designated for performing public benefit activities, after their founding, are subject to entering in a special Central Registry with the Ministry of Justice.

The provisions of Chapter III do not apply for organizations with non-profit purposes designated for mutual benefit activities.

Art. 3 (1) Legal persons with non-profit purposes determine freely the means for achieving their purposes.

(2) Limitations in the activities and the means for achieving the purposes of the legal persons with non-profit purposes can be determined solely by a law.

(3) Legal persosn with non-profit purposes can engage in additional economic activities only if it is related to their main activity, for which they are registered and if they use the revenue for achieving the determined in the statute or the articles of incorporation purposes.

(4) The type of economic activity is determined in the statute or the articles of incorporation of the legal person with non-profit purposes.

(5) The conducting of economic activities by legal persons with non-profit purposes follows the rules and conditions, determined by the laws regulating the respective type of economic activity.

(6) Legal persons with non-profit purposes do not distribute profit.

Art. 4 The state may help and promote the registered in the Central Registry legal persons with nonprofit purposes for performing public benefit activities through tax, credit and interest-rate, customs, and other financial and economic benefits under rules and conditions defined in the respective specialized laws.

Art. 5 The founders of a legal person with non-profit purposes may be Bulgarian and foreign legal and competent physical persons.

Legal Status

Art. 6 (1) The legal person of a non-profit organization shall come into existence upon its entry in the registry for legal persons with non-profit purposes in the region of the district court at the seat of the legal person.

Actions taken by the founders in the name of the founded legal person with nonprofit purposes before the day of entry in the registry shall give rise to rights and obligations for the persons who took such actions, and shall pass by right onto the legal person with nonprofit purposes at the moment it comes into existence. In making the transactions, a notice shall be given stating that the legal person with nonprofit purposes is in the process of formation. The persons who made the transactions shall be jointly and severally liable for the obligations incurred.

Legal persons with non-profit purposes carry all rights and obligations not connected with the natural qualities of physical persons and can own property.

Art. 7 (1) The name shall include a clear indication of the type of the legal person with non-profit purposes.

(2) The name shall not be misleading or violating the morals.

(3) The name shall be spelled out in Bulgarian and in addition, it may be spelled out in a foreign language.

(4) After a legal person with non-profit purposes is entered into the court registry, another legal person of the same type and with the same name cannot be entered.

(5) The registered in court legal person with non-profit purposes shall have the right to demand of any other legal person with nonprofit purposes of the same type which has later taken a name coinciding with its own, that it discontinues the carrying and use of the coinciding name.

Art. 8 (1) The seat of the legal person with nonprofit purposes shall be the settlement of its management address.

(2) The legal person's address shall be the address of its management.

Art. 9 Every written statement in the name of the legal person with non-profit purposes shall indicate its name, seat, address, as well as data for its registration, including the BULSTAT number.

Art. 10 (1) The legal person with non-profit purposes expresses its will and takes legal actions through its organs. It shall be represented by its managing organ.

(2) In court proceedings between the legal person with non-profit purposes and its managing body or members of the managing body, the legal person may be also represented by one or more persons elected by its General Assembly.

(3) A legal person may take part in the work of an organ of the legal person with non-profit purposes through its representative or by a proxy.

Art. 11 (1) The structure of the legal person with non-profit purposes is determined by this law and the statute or the articles of incorporation.

(2) The legal person may have branches. The manager of the branch represents the legal person for the work of the branch.

Art. 12 (1) Legal persons with non-profit purposes may transform into legal persons with nonprofit purposes of a different type, as well as merge, consolidate, spin-off or divide.

(2) After a spin-off or division, the resulting legal persons with nonprofit purposes shall be jointly and severally liable for the obligations taken before their conversion.

(3) The members of legal persons that have merged or consolidated become members of the newlegal person and the members of the legal person that has been divided - members of the newly formed legal persons, on their own choice.

Art. 13 (1) A legal person with nonprofit purposes shall be dissolved upon any one of the following:

1. expiration of its term of existence;
2. decision by its supreme organ;
3. decision of the District Court where the legal person with nonprofit purposes is registered, when:

1. it has not been formed in compliance with the law;
2. it engages in activities contrary to the law or the public order or morals;
3. it is insolvent;

(2) The court decision under paragraph 1, sub-paragraphs "1" and "3" shall be issued upon a claim by any interested party or by the prosecutor.

(3) The court may allow an appropriate time period to eliminate the grounds for dissolution and its results.

(4) In the event of dissolution pursuant to Paragraph (2) the entry of the dissolution in the registry shall be made upon the initiative of the court and the court shall appoint the liquidator.

Art. 14 (1) Upon dissolution of the legal person with nonprofit purposes, liquidation is carried out.

(2) The liquidation shall be carried out by the managing organ or by a person specified by it.

(3) If no liquidator is specified pursuant to the foregoing Paragraph (2), as well as pursuant to Art. 13, Paragraph (1), Sub-paragraph 2, a liquidator shall be appointed by the District Court at the seat of the legal person with nonprofit purposes.

(4) With regard to insolvency, the provisions of the Law on Commerce shall apply as to the liquidation procedure and the powers of the liquidator.

Art. 15 (1) The distribution of the property remaining after the satisfaction of creditors shall be decided according to the statute, articles of incorporation or by the supreme organ of the legal person with nonprofit purposes, unless otherwise specified in this law. If a decision on distribution has not been made prior to dissolution, such a decision shall be made by the liquidator.

(2) If the persons specified in the foregoing Paragraph (2) do not exist or if they cannot be determined, the property shall pass on to the municipality where the legal person has its seat. The municipality is obliged to use the property received to a purpose as close as possible to the purpose of the liquidated legal person with nonprofit purposes.

(3) The property referred to in the foregoing Paragraphs shall not be distributed, sold or in any way transferred to liquidators who are not in the category of persons defined in Paragraph (2) except for the fee owed to them.

(5) The persons that have acquired property as a result of the liquidation conducted under paragraphs 1-3 are liable for the obligations of the terminated legal person with nonprofit purposes up to the amount of the property acquired.

Art. 16 After the distribution of property, the liquidator shall request the removal of the legal person's entry from the registry in the district court at the seat of the legal person with nonprofit purposes.

Art. 17 District Courts shall maintain registries for legal persons with non-profit purposes.

Art. 18 (1) The following items shall be entered in the registry for legal persons with non-profit purposes:

1. the mandatory information contained in the articles of incorporation or the statute;
2. the address;
3. the names and titles of the persons representing the legal person with nonprofit purposes;
4. the designation for performing public benefit activities;
5. the amount of the initial property deposits if such are provided for;
6. the dissolution of the legal person with nonprofit purposes;
7. conversions;
8. the names, or names of the firms, as well as the addresses of liquidators;
9. the removal of the legal person's entry from the registry.

(2) The following items shall be entered in the registry of legal persons with non-profit purposes where a branch has its seat:

1. the name, seat and address of the legal person with nonprofit purposes;
2. the seat and address of the branch;
3. the manager, as well as the limits to its powers and representative rights, as provided for in the articles of incorporation.

(3) The branches of foreign persons with non-profit purposes have to enter in the registry additionally also:

the purposes of the foreign legal person with nonprofit purposes;

those of the purpose from sub-paragraph 1 that will be done through the branch;

the designation of the branch for performing public benefit activities

(4) The changes in the items in the registry from paragraphs 1, 2, and 3 are subject to registering as well.

Art. 19 (1) An association shall be incorporated by an act of three or more persons who unite themselves for performing activities with non-profit purposes.

(2) An association designated for performing public benefit activities shall be incorporated by an act of at least 7 physical or 3 legal persons.

Art. 20 The founders adopt a statute that shall contain:

1. the name of the association;
2. the seat of the association;
3. the purposes of the association and the means for achieving them;
4. the designation of the type of activity under art. 2;
5. the type of activities;
6. the managing organs;
7. the branches of the association;
8. the powers of the organs of the association;
9. rules regarding the manner of representation of the association;
10. rules regarding the admission to and termination of membership, as well as the way to settle property relations when membership is terminated;

• the term of existence of the association;
• the procedure for determining the amount and the way of paying membership fees;
• the way for distributing the property left after the satisfaction of the creditors.

Art. 21 (1) The membership in the association is voluntary.

(2) Each member of an association shall be entitled to participate in the management of the association, to be informed about the association's activities, and to utilize the property of the association and the results of the association's activity under the procedure set up in the statute.

(3) Each member shall pay membership fees when provided for in the statute.

(4) The member is liable for the obligations of the association up to the amount of the membership fees provided in the statute. Members shall not be personally liable for the obligations of the association.

(5) Membership rights and obligations, with the exception of the property ones, shall be non-transferable and shall not pass on to other persons upon death, respectively dissolution, of a member. The fulfillment of membership obligations and practicing of membership rights can be transferred to someone else if provided in the statute.

Art. 22 (1) Membership shall be terminated upon:

1. unilateral statement of termination by the member;
2. death or incapacitation of the member;
3. expulsion of the member;

• dissolution of the legal person with nonprofit purposes.
• dropping out of the association.

(2) If the statute does not specify anything else, the decision for expulsion is made by the General Assembly in case of guilty conduct, which makes continuing membership impossible.

(3) When the statute provides the expulsion to be made after a decision of the Board of Directors or another organ of the association, this decision may be appealed before the General Assembly.

(4) Dropping out because of systematically not paying membership fees and not participating in the activities is proved by documents under the rules set up in the statute of the association.

Art. 23 (1) The supreme organ of an association shall be the General Assembly.

(2) The management organ of an association shall be the Board of Directors.

Art. 24 The General Assembly consists of all the members of the association, unless the statute provides otherwise .

Art. 25 (1) The General Assembly shall:

1. amend and supplement the statute;
2. adopt other internal acts;
3. elect and dismiss the members of the other organs;
4. admit and expel members;
5. decide on the opening and closing of branches;
6. decide on the participation of the association in other organizations;
7. decide on the conversion and dissolution of the association;
8. adopt the general directives and programs for the association's activity;
9. adopt the budget of the association;
10. decide on the existence and amount of membership fees or property installments;
11. adopt the report on the Board of Directors's activities;
12. repeal decisions of other organs of the association that are contrary to the law, to the articles of incorporation or to other internal instruments governing the association's activities;
13. takes other decisions provided in the statute.

(2) The powers under Paragraph (1), Sub-paragraphs 1, 3, 7, 9, 11 and 12 shall not be delegated to other organs of the association.

(3) The decisions of the General Assembly shall be binding on all other organs of the association.

(4) The decisions of the General Assembly shall be subject to court supervision with regard to their lawfulness and their compliance with the statute.

(5) The decisions of the organs of the association contrary to the law, the statute or a previous decision of the General Assembly may be appealed before the General Assembly at the request of the interested members of the association or of its organ, made in a monthly period after knowing about the decision, but not later than a year after the date it was taken.

(6) Any member of the association or its organs, as well as a prosecutor shall be able to bring up disputes before the competent court pursuant to the foregoing paragraph 4 in a monthly period after knowing about the decision, but not later than a year after the date it was taken.

Art. 26 (1) Meetings of the General Assembly shall be called by the Board of Directors upon its own initiative, or upon demand by 1/3 of the members of the association, in the settlement where the seat of the association is. In the latter case, if the Board of Directors does not issue a written invitation calling the meeting of the General Assembly within 1 month, the meeting shall be called by the court at the seat of the association upon a written request by the interested members or a representative appointed by them.

(2) The invitation shall contain the agenda, date, hour and place of the meeting of the General Assembly, and an indication of who initiated the meeting.

(3) The invitation shall be published in the Official Gazette and will be posted on the notice-boards in the building where is the association’s management, at least 1 month before the day scheduled for the meeting.

Art. 27 Meetings of the General Assembly shall be legitimate if more than half of all members are present, if the statute do not provide for something else. If there is no quorum, the meeting shall be postponed by one hour keeping the same agenda and location and then may be held regardless of the number of the members who show up, unless the statute provides for something else.

Art. 28 (1) Every member of the General Assembly shall have one vote.

(2) No member shall have the right to vote on matters related to:

1. itself, its spouse or ascending and descending relatives - without limitation, collateral relatives - up to the fourth degree, or in-laws - up to the second degree inclusive;

2. legal persons in which the member is a manager, or may compel or block decision making;

(3) One person can represent no more than 3 members of the General Assembly on the basis of a written proxy, unless another representation mode or an assembly of deputies are not provided for in the statute. Reauthorization is not allowed.

Art. 29 (1) The decisions of the General Assembly shall be made by a majority vote of the members present.

(2) The decisions under Article 25, Paragraph 1, Sub-paragraphs 1 and 7 shall be made with a 2/3 majority of the members present.

(3) Decisions on topics not included in the agenda of the invitation shall not be allowed.

Art. 30 (1) The Board of Directors consists of at least three persons - members of the association. Legal persons that are members of the association can nominate for members of the Board of Directors people that are not members of the association. Members of the Board of Directors shall be appointed for a term of up to 5 years. (2) The Board of Directors elects a chairman out of its members. The statute may provide that the chairman shall be elected by the General Assembly or by another organ of the association.

(3) Upon a decision of the General Assembly, the functions of the Board of Directors may be performed by a sole Director.

Art. 31 (1) The Board of Directors shall:

1. represent the association as well as determine the scope of the representative power of its separate members;
2. ensure the implementation of the decisions of the General Assembly;
3. dispose of the property of the association following the prescriptions of the statute;
4. prepare and submit to the General Assembly the draft budget of the association;
5. prepare and submit to the General Assembly the report on the association's activities;
6. determine the procedure and organize the activities of the association, including those of public benefit and bear the responsibility for that;
7. determine the address of the association;
8. make decisions on all matters that, by virtue of the statute, or by law, do not fall within the powers of another organ.
9. fulfills the obligations written in the statute.

Art. 32 (1) The sessions of the Board of Directors are called and presided by its Chairman unless the statute provides otherwise. The Chairman is obliged to call the Board of Directors upon a written request of 1/3 of its members. If the Chairman does not call the Board of Directors within a week after the request, it may be called by any of the interested members of the Board of Directors. When the Chairman is absent, the session is presided by a member of the Board of Directors nominated by it.

(2) The Board of Directors shall be authorized to make decisions if more than half of its members are present at a session.

(3) A member of the Board of Directors shall be deemed present if it participates in the session by means of a two-way telephone or other type of connection which makes its personal identification possible, and enables it to participate in the discussion and decision making. The vote of such member shall be certified in the minutes by the chairperson of the session.

(4) Decisions shall be made by majority of the members present, except for decisions pursuant to Art. 14, paragraph (2) and Art. 31, Paragraph 1, Sub-paragraphs (3) and (6) which shall be made by majority of all members. The statute may provide for the decisions to be taken with another majority except those pursuant to the foregoing paragraph.

(5) The Board of Directors can take a decision without a session if the protocol of the decision is signed without any notes or objections by all members of the Board.

Art. 33 (1) The Foundation shall be incorporated inter vivos or after death by unilateral articles of incorporation, with which the property is transferred gratuitously for the achievement of a non-profit purpose.

(2) For establishing a foundation inter vivos is necessary that the articles of incorporation have to be with signatures certified by a notary.

(3) When property rights over chattels are transferred, the articles of incorporation are entered by the judge responsible for such entries at the district court at the location of the property.

(4) The property transferred with the articles of incorporation is considered as property of the foundation at the time of the establishment of the foundation from the date of execution of the articles of incorporation inter vivos, and when established by a will - as of opening of the inheritance.

(5) The founder has the right to cancel the articles of incorporation until the moment of establishment of the foundation and this right does not pass to the heirs.

Art. 34 (1) The articles of incorporation of a foundation shall contain:

1. the name of the foundation;
2. the seat of the foundation;
3. the purposes of the foundation;
4. the type of activity pursuant to art. 2;
5. the property transferred;
6. the organs of the foundation;
7. the branches of the foundation;
8. rules regarding those powers of the organs of the foundation;
9. rules regarding the manner of representation of the foundation;
10. the term of existence of the foundation.

(2) Compliance with the requirements of Paragraph (1), Sub-paragraphs 3 and 5 shall be sufficient to validate the articles of incorporation.

(3) The application for registration is made by the founder or by a person or organ empowered by him, the executor of the will, an heir or any of the persons that according to the articles of incorporation would have benefited from the activities of the foundation.

(4) If the articles of incorporation need to be amended and it is not possible for such action to be taken by the founder, or according to a procedure established by the founder or by law, upon request of interested applicants, the district court at the seat of the foundation shall make the amendments. The court shall take the action in accordance with the intent of the articles of incorporation.

Art. 35 (1) A foundation shall have a managing organ that may be one-person or collective.

(2) In case the foundation has more than one organ according to the articles of incorporation, the supreme and the managing organs shall have the powers of a General Assembly and a Board of Directors of an association, respectively.

(3) The organs of the foundation can take decisions for apointing or electing its members. If they are not in a position to appoint or elect members, any one of its members, or any person, who would have benefitted from the foundation's activities, may request the District Court at the seat of the foundation to make the appointments in accordance with the intent of the articles of incorporation.

(4) When in the articles of incorporation the organs of the foundation are not specified, they are determined by the court at its seat following the procedure of art. 34, paragraph 4.

Art. 36 (1) The powers reserved for the founder or a third party designated by the founder shall pass to the appropriate organ of the foundation, if the founder or such third person appointee deceases or is declared to have unknown whereabouts, is incapacitated, or is dissolved in case it is a legal person.

(2) If the persons referred to in the foregoing Paragraph (1) do not exercise their powers with due diligence, or are in a lasting disability to exercise their powers, the registration Court, upon motion of the managing organ, may decide that the powers of these persons be transferred to the appropriate organ of the foundation for a definite or indefinite term.

Art. 37 (1) The provisions of the present law as to legal persons with non-profit purposes shall apply to the organizations designated for performing public benefit activities, as long as this chapter does not provide for something else.

(2) The judicial and administrative authorities engaged in the registration of legal persons with non-profit purposes deny registration to the organizations designated for performing public benefit activitites when the provisions of their statute or articles of incorporation contradict the provisions of the chapter.

(3) Legal persons, not designated for performing public benefit activities as well as those to which registration is denied according to the foregoing paragraph (2), can continue to conduct activities for the mutual benefit of their members or for the benefit of certain members.

Art. 38 (1) Organizations designated for performing public benefit activities use their property for achieving purposes such as:

1. the development and affirmation of spiritual values, civil society, health protection, education, science, culture, engineering, technology or physical culture;
2. the support of the socially vulnerable, those in need of care or the handicapped;
3. the support of social integration and personal advancement;

protection of human rights or protection of the natural environment;

other purposes determined by law.

(2) A foreign legal person with nonprofit purposes may engage in public benefit activities through its branch in Bulgaria, under the conditions of the present law.

(3) Legal persons with nonprofit purposes designated for performing public benefit activities have to ask registration in the Central Registry for the items under art. 45 paragraph 2.

Art. 39 (1) The legal person with nonprofit purposes shall have a collective supreme organ and a managing organ.

(2) The collective organof the legal person with nonprofit purposes shall take its decisions under the procedure of art. 32 paragraph 4.

(3) At least once a year, the legal person with nonprofit purposes designated for performing public benefit activities provides a check on its activities by a certified public accountant.

Art. 40 (1) The legal person with nonprofit purposes designated for performing public benefit activities shall be obliged to keep a record of the minutes of the sessions of its collective organs. The person chairing the meeting of the collective organ and the person who has prepared the protocol certify and are responsible for the truthfulness of its content.

(2) The legal person with nonprofit purposes designated for performing public benefit activities shall prepare a report on its activities once each year that has to contain data concerning:

1. the substantial activities, the money expended on those activities, the relation of the activities to the programs and purposes of the organization, and the results achieved;
2. the amount of gratuitous transfers of property and the revenue from the other fund raising activities;
3. the financial result.

(3) The report for the activity of the legal person with nonprofit purposes designated for performing public benefit activities shall be public. A notice of its creation, as well as of the place, time and manner of obtaining access to it, shall be published in the newsletter of the Central Registry.

Art. 41 (1) The legal person with nonprofit purposes designated for performing public benefit activities shall be allowed to make gratuitous applications of property and engage in activities to achieve the purposes, defined under the procedure given in the present law.

(2) The selection of persons to be supported by the legal person with nonprofit purposes designated for performing public benefit activities and the way in which they shall be supported shall take into consideration the purpose and the financial resources of the legal person, in accordance with the designated procedure and the rules for engaging in activities. Information regarding the selection procedure shall be publicly accessible and shall be listed in the Central Registry.

(3) A decision of the supreme organ of the legal person with nonprofit purposes designated for performing public benefit activities made by a 2/3 majority of all its members and a statement of its motives shall be required for a gratuitous application of the organization's property for the benefit of:

1. members of other organs or their spouses, their ascending and descending relatives - without limitation, collateral relatives - up to the fourth degree, or in-laws up to the second degree inclusive;
2. persons who have been members of other organs up to two years before the date of the decision;
3. legal persons that have funded the organization up to three years before the date of the decision.
4. legal persons in which the persons from par. 3, sub-paragraphs 1 and 2 are managers or can compel or block a decision.

(4) Legal persons with nonprofit purposes designated for performing public benefit activities shall not be allowed to enter into transactions with the persons specified in Paragraph (3), Sub-paragraph 1 of this Article, or with legal persons in which the same persons are managers, or may compel or block decision making, unless the transactions are of obvious benefit to the organization or are made under publicly announced general conditions.

Art. 42 A legal person with nonprofit purposes designated for performing public benefit activities may not convert into a legal person for performing mutual benefit activities.

Art. 43 (1) The liquidator shall, if possible, satisfy the creditors of the organization out of the available money first, out of the proceeds of liquidation of chattel second and, out of the proceeds of liquidation of real estate last.

(2) No property of the organization may be transferred in any way to:

1. founders and present and former members;
2. present and former members of its organs;
3. liquidators, except the compensation to which they are entitled;
4. spouses of the persons specified in the foregoing Sub-paragraphs 1-3;
5. ascending and descending relatives of the persons specified in the foregoing Sub-paragraphs 1-3 - without limit, collateral relatives - up to the fourth degree, or in-laws - up to the second degree inclusive;
6. legal persons in which the persons specified in Sub-paragraphs 1-5 are directors, or may compel or block decision making.

Art. 44 (1) Any property remaining after the satisfaction of the creditors shall be passed, after a court decision, to a legal person with nonprofit purposes designated for performing public benefit activities with the same or similar non-profit purposes if such is not determined in the statute or the articles of incorporation.

(2) In case property is not passed as provided by the foregoing Paragraph (1), it shall be given to the municipality where the dissolved legal person had its seat. The municipality shall use the property to achieve a most similar non-profit purpose to the purposes of the dissolved legal person with nonprofit purposes.

Art. 45 (1) Legal person with nonprofit purposes designated for performing public benefit activities shall submit an application for entry in a special Central Registry at the Ministry of Justice.

(2) The application shall be accompanied by:

1. a copy of the court decision relating to the registration;
2. a list of the members of the managing organs of the organization;
3. 3. a certificate of registration for tax purposes;
4. a declaration for the existence of the evidence under art. 38 - 41 as well as for any outstanding tax, fee, customs, or other obligations to the government;
5. the rules and conditions for performing public benefit activities.

(3) The Minister of Justice shall adopt rules for the structure and the working and keeping of the registry and approve the standard forms submitted to him. The Minister or a person appointed by him shall enter the submitted items with a motivated decision immediately. When additional evidence has to be requested or some defects of the submitted documents have to be remedied, the registration shall be made after the term for additions and corrections in the submitted application has expired.

(4) The entry in the registry may be denied if the legal person with nonprofit purposes designated for performing public benefit activities has not been registered by the competent court as a legal person with non-profit purposes for performing public benefit activities or if the provisions of the statute or articles of incorporation contradict the law. If registration is not completed within 14 days after application, there is a silent denial of registration.

(5) The express or silent denial of registration is subject to appeal within 14 days under the procedure of the Law for the Superior Administrative Court.

(6) The denials that have entered into force are announced automatically to the court at the seat of the legal person and the organs of the tax administration.

(7) The entry is also subject to amendments to the items pursuant to Paragraph (2) of the present text.

(8) The rights of the legal persons with nonprofit purposes designated for performing public benefit activities to use benefits according to the present law, shall be effective as of the date of the entry in the Central Registry. The entered item is considered known to third persons as of the day of registration and it is automatically announced to the court at the seat of the legal person and the organs of the tax administration

(9) The Central Registry is public and anyone can make an inquiry or ask a copy of the information that is subject to publication.

(10) The rules for the publicity of the Central Registry apply also when items subject to this law are entered in another registry.

(11) The Central Registry publishes a monthly newsletter, in which are published the registered legal persons with nonprofit purposes designated for performing public benefit activities, the denials and the cancelled registrations as well as information is announced, following the procedure set forth in the Rules of the Activity of the Central Registry.

(12) The procedure for entering in the Central Registry, the publications, announcement of information and the appeal of the denials for registration is exempted of government fees.

Art. 46 (1) Legal persons with nonprofit purposes designated for performing public benefit activities shall submit to the Central Registry information regarding their activities during the last year on or before May 31 of every year.

(2) The following shall be submitted for entry and presented to the Central Registry:

1. a copy of all court decisions for registration of amendments to the items;
2. a list of the persons who have been members of the managing organs;
3. information as to performed activities under art.38;
4. the annual certified financial report or the check by the certified public accountant under art. 39, par. 3;
5. the annual report under art. 40, paragraph 2;
6. a declaration as to outstanding tax, fee, customs, or other obligations to the government;
7. amendments to the statute or the articles of incorporation.

(3) In case the organs of the Central Registry notice legal deffects, the Minister of Justice informs the Prosecutor’s office and the organs of the state financial control for conducting checks and the actions provided for in the law.

Art. 47 The Minister of Justice shall be entitled to demand current information on the items subject to entry.

Art. 48 (1) The registration shall be canceled, upon a motion of the prosecutor or the organs of the state financial control, ex-officio by the Minister of Justice, when the legal person with nonprofit purposes designated for performing public benefit activities:

1. does not submit in a timely fashion systematically the information regarding the items subject to registration;
2. engages in activities in violation of the stipulations of the law;
3. the organization defaults systematically on its debts to the government;
4. the members of the organization fall below the legally required minimum for a period longer than 6 months.

(2) The cancellation of the registration does not free the legal person with nonprofit purposes for public benefit activities or the members of its managing bodies from the liabilities and the responsibility under this law.

Art. 49 (1) The legal person with nonprofit purposes designated for performing public benefit activities whose has been canceled may apply second time for such a status not earlier than a year after the grounds for withdrawal have been remedied. This right shall not be exercised more than once.

(2) A legal person whose registration as a legal person with nonprofit purposes for performing public benefit activities has been canceled may continue to perform its activities by using its property only for the activities described in its statute or articles of incorporation as long as they do not contradict to art. 38, paragraph (1), art. 41, par. 1, art. 43 and art. 44 of this law.

Art. 50 (1) The decisions of the Minister of Justice refusing entry of the submitted items or refusing to register the legal person with non-profit purposes as performing public benefit activities may be appealed to the Supreme Administrative Court in a 14-day period after their announcement.

(2) If the denial of registration, respectively the cancellation of registration is turned down, the registration is entered automatically.

(3) The entered into force denials for registration and cancellation of registration are entered automatically by the court of registration of the legal person.

Art. 51 The applicable law regarding legal capacity, incorporation, conversions and dissolution, management, representation and membership of legal persons with non-profit purposes shall be the law of the country where the legal person has its seat.

Art. 52 (1) The applicable law regarding the opening, activities and closing of a branch shall be the law of the country where the branch has its seat.

(2) A foreign organization with non-profit purposes shall be allowed to open a branch in Bulgaria unless its purposes contradict the public order and the law of the Republic of Bulgaria.

§ 1. (1) Existing at the date of entering into force of this law legal persons with non-profit purposes shall keep their legal personality without having to register under this law.

(2) Legal persons with nonprofit purposes, that want to be designated for performing public benefit activities have to make a request for entering the Central Registry at the Ministry of Justice in three years period after this law enters into force. The status of a legal person with nonprofit purposes for performing public benefit activities is acquired at the date of entering in the Central Registry.

(3) The request has to contain the necessary for registration items as in art. 45, paragraph 2.

(4) The existing at the date of entering into force of the law associations and foundations are obliged in a one-year term after entering into force of the law to amend their statutes or articles of incorporation in accordance with the law.

§ 2. Organizations that engage in religious, sindical or political activities as their purpose are dealt by in a separate law.

§ 3. This law shall repeal Articles 134 - 154 of the Law on Persons and Family (Promulgated in State Gazette #182 of 1949, ...List of Amendments...).

§ 4. In the Law on Administration (Promulgated in the State Gazette #130 of 1998; # 8 of 1999 - Decision #2 of the Constitutional Court from 1999; amended #67 of 1999, #64 of 2000) art. 22 is repealed.

§ 5 (1) All associations with non-profit purposes and all foundations, in the statutes or articles of incorporation of which by the entering into force of this law is written as their purpose to cooperate with the Bulgarian Communist Party, the Fatherland Front, the Dimitrov’s Communist Youth Union and the Union of Bulgarian Professional Unions and their legal heirs, are terminated.

(2) The court announces the termination after a request by the prosecutor or any interested party and appoints liquidators.

(3) The liquidation follows the procedure of the Law on Commerce and has to end in a 6-month period after the liquidators are appointed.

(4) The property left after the satisfaction of the creditors is transferred to the state. It may be given following the procedure of art. 44 to other legal persons with nonprofit purposes for performing public benefit activities.

§ 6. This law enters into force on January 1 2001 and its execution is given to the Minister of Justice.

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