Official Gazette of the FBIH, No 45/02

LAW ON ASSOCIATIONS AND FOUNDATIONS OF BOSNIA AND HERZEGOVINA

I – GENERAL PROVISIONS

Article 1.

This Law lays down the requirements and procedure for the establishment, internal organization,
registration, cessation of associations and foundations, and other issues relevant for a free and
voluntary association of citizens and legal persons in the Federation of Bosnia and Herzegovina
(hereinafter: the Federation).

Article 2.

Pursuant to this Law, an association is created by a common agreement in which a group of

natural or legal persons voluntarily associate to further a common interest or public interest, in
compliance with the Constitution and the law, and who do not intend to gain profit.

A foundation is a legal person without its own members, intended to manage assets for the public
benefit, or for common interest.

Article 3.

Associations and foundations shall be independent in determining their goals and activities in
compliance with the Constitution and the law. Goals and activity of an association or foundation
shall not be contradictory to the constitutional arrangement of Bosnia and Herzegovina or the
Federation of Bosnia and Herzegovina (hereinafter: the Federation), or directed at its violent
disintegration or stirring up ethnic, racial, religious or other hate or discrimination which is
prohibited by the Constitution and the Law. The goals and activities of an association or
foundation shall not include electioneering of political parties and candidates, fundraising for
political parties and their candidates, or financing candidates i.e. political parties.

Article 4.

For the purpose of realizing their goals and activities defined in the statute, an association or
foundation may establish entities for economic and other activities, under the conditions laid
down in the law and the association’s or foundation’s statute. An association or foundation may
perform unrelated economic activities (economic activities that are not directly related to the
implementation of main goals of an association or foundation specified in the statute) only
through a separately established legal person. Profit generated from an association’s or
foundation’s unrelated economic activities can only be used for advancing goals specified in the
statute.

The following persons shall not directly or indirectly obtain profits or other financial benefits
gained through the activities of associations or foundations: founders, association members,
members of managing bodies, responsible persons, employees or donors.
The limitation set out in paragraph 4 shall not exclude reimbursing such persons for work or for
expenses related to the implementation of lawful aims and activities as determined by the statute
of the association or foundation. The limitations set out in this Article shall not affect the assets
of the association or foundation as referred to in Article 38 of this Act.

Article 5.

If an association’s or foundation’s goals are compliant with the Constitution, this Act and the
legal system, the association or foundation seated in the Republika Srpska may perform its
activity on the territory of the Federation without further administrative requirements. In that
case, the association shall be registered by transferring the data from the decision on registration
of the association registered in the Republika Srpska to the registry of associations, pursuant to
Article 26 of this Act. The received decision and the statute shall be enclosed in the registry, and
the association or foundation shall be issued a decision on entry in the registry of associations or
foundations at the FBiH Ministry of Justice (hereinafter: FBiH ministry) or the competent
cantonal administration body (hereinafter: cantonal authority).

Article 6.

The Law may lay down that an association or foundation shall be vested with public powers
within the scope of its activity.
Article 7.

An association or foundation shall have its name and seat.

The name of the association or foundation shall be in one of the official languages of Bosnia and
Herzegovina.
If foreseen in the statute, the name of the association or foundation may be entered in the registry
translated to one or several foreign languages, but the name in the official language shall be
entered first.
By way of derogation from Paragraphs 1 and 2 of this Article, the name of the association or
foundation may include foreign words if they comprise the name of an international organization
whose members are the association or foundation in question, if these words are common in any
of the official languages of Bosnia and Herzegovina, or if there is no corresponding word in one
of the official languages of Bosnia and Herzegovina, or if these are words of a dead language.
The abbreviated name can also be used with the full name of the association or foundation, but it
must include markings to differentiate it from the other associations or foundations.

Article 8.

An association and foundation may have a logo.

The name or logo of an association or foundation must be clearly distinguishable from the name
or logo of other associations or foundations.

Article 9.

Two or more associations or foundations may not be registered under the same name with the
bodies in charge of keeping the registry of associations and foundations.
If two or more associations or foundations file applications for registration under the same name,
the application submitted on the earliest date shall be accepted.
If such registration was already made, the body in charge of registration shall issue a decision
ordering the association or foundation which was registered on a later date to change its name
within 30 days.
If an association or foundation fails to comply with provisions of Paragraph 3 of this Article, the
procedure for removal of the entry from the registry shall be initiated against the association or
foundation, in compliance with the law.

Article 10.

The name of the association or foundation may not include the following names:
1) Bosnia and Herzegovina - without the approval of the competent authority of Bosnia and
Herzegovina;
2) Federation - without the approval of the FBiH administration body which supervises the
legality of the association’s or foundation’s work;
3) name of a canton - without the approval of the cantonal authority competent for the activity of
the association or foundation;
4) name of a city or municipality - without the approval of the mayor or municipal mayor.

II. - ASSOCIATIONS
1. The Founding of Association

Article 11.

An association may be founded by minimum three natural or legal persons who are citizens of
Bosnia and Herzegovina, or foreign nationals residing or staying in the territory of the Federation
for more than one year, alone or with citizens of the Federation.
An association shall be founded with the adoption of the founding act.
An association shall get the status of a legal person upon registration. Legal actions taken before
the registration of an association shall be binding only for persons who took those actions.

Article 12.

The founding assembly of an association adopts a founding act and the statute of the association,
and appoints the managing bodies.

Article 13.

The founding act shall include:

1) name and surname and addresses, or name and HQ of the founder;
2) the name and seat and address of the association;
3) main objectives behind the founding of the association;
4) name and surname of the authorized person who will enter the association in the register;
5) founders’ signatures and single birth registration codes of the citizens, if the founders are
citizens of Bosnia and Herzegovina.

Article 14.

The statute of an association shall contain:

1) the name and seat of the association;
2) the goals and activities of the association;
3) representation of the association;
4) bodies of the association, their competences, method of appointment and replacement,
mandate duration, quorum and voting rules, including the issues of qualified majority in decision
making, and functions of the person authorized to convene the assembly session;
5) the shape and content of the association’s seal;
6) the shape and content of logo, should the association decide to have a logo;
7) acquisition and disposal with assets;
8) manner of adopting financial reports and performance reports;
9) the procedure for enactment of the statute, its amendments, and other general acts of the
association;
10) conditions and way of joining, termination of membership, and rights, duties and
responsibilities of the association members;
11) conditions and procedure for the merger, separation, transformation or cessation of the
association;
12) rules for the disposal of remaining assets of the association in case it ceases operations.

The statute may regulate other issues of importance for the goals and activity of the association.

Article 15.

An association may join unions, or merge, separate, or transform into another association or
foundation only.
A union is entered in the registry and it shall get the status of a legal person on the date of
registration.
An association may have its organizational forms (branches, offices, clubs etc.), in compliance
with the statute.

2. Membership

Article 16.

An association member may be a citizen of Bosnia and Herzegovina, a foreigner residing or

staying in Bosnia and Herzegovina, or a legal person which voluntarily joins the association, in
compliance with the statute.
Underage persons may participate in the association’s work as members, in the way defined in
the statute.
The association statute may foresee the existence of honorary members.
 3. The Organs of an Association
Article 17.

The assembly shall be the managing body of the association.

All members of the association shall make up the assembly and have equal voting rights, unless
otherwise stipulated in the statute.
The assembly shall appoint one or more persons to represent the association, unless the statute
foresees the establishment of a managing board or other manging organs.
The statute may also provide for the establishment of other organs of the association.

Article 18.

The Assembly of the Association shall:

1) enact the statute, its amendments, and other acts determined in the statute;
2) issue approval for legal actions taken in the process of establishment of the association;
3) select and replace managing board members or, if the statute does not foresee a managing
board as a separate body, appoint and replace the person authorized to represent the association;
4) adopt reports prepared by the managing board, or by the person authorized to represent the
association;
5) decide on joining unions, merger, separation, transformation, cessation and other changes of
the association’s status;
6) decide on all other issues that are not under the authority of other organs.

Article 19.

Unless the statute foresees the establishment of a managing board, the person authorised to
represent the association shall:
1) Prepare sessions of the assembly;
2) Prepare and propose draft amendments to the statute and other acts enacted by the
assembly;
3) Implement the policies, conclusions and other decisions made by the assembly;
4) Manage the assets of the association;
5) Submit annual or periodic performance reports to the assembly for adoption;
6) Perform other duties as determined in the statute.

III. - FOUNDATIONS
The Establishment of Foundations

Article 20

A foundation may be established by one or more domestic or foreign natural or legal persons.
A foundation may be established by unilateral declaration, by a decision, contract or another
legally valid act.
Unless the statute specified otherwise, it shall be deemed that the foundation has been established
for an indefinite period of time.
The founder shall adopt the founding act i statute of the foundation.
A foundation may merge with, separate from, or transform into another foundation only.
A foundation may have its organizational forms (branches, offices etc.), in compliance with the
statute.

Article 21.

The founding act of a foundation shall include:

1) name and surname and address, or name and seat of the founder;
2) The seat and address of the foundation;
3) main goals behind the establishment of the foundation;
4) financial resources or other forms of assets invested by the founder, which shall not be less
than BAM 2,000.00;
5) name of the authorized person who will enter the foundation in the register;
6) founder’s signature; and
7) single birth registration code of the citizen, if the founders are citizens of Bosnia and
Herzegovina.

Article 22.

The foundation shall have a statute.

The statute of a foundation shall contain:
1) the name and seat of the foundation;
2) the goals and activity of the foundation;
3) bodies of the foundation, their competences, method of appointment and replacement of
members of the foundation bodies, mandate duration, quorum and voting rules, including specific
issues of qualified majority in decision making;
4) representation of the foundation;
5) the shape and content of the foundation’s seal;
6) the shape and content of logo, should the foundation decide to have a logo;
7) rules for the use of the foundation’s funds;
8) potential users of the foundation’s funds;
9) the procedure for enactment of the statute, its amendments, and other general acts of the
foundation;
10) manner of adopting and submitting financial reports and performance reports;
11) conditions and procedure for the merger, separation, transformation or cessation of the
foundation;
12) rules for the disposal of assets of the foundation in case it ceases operations.
The statute may regulate other issues of importance for the goals and activity of the foundation.

2. Organs of a foundation
Article 23.

The managing organ of a foundation is the managing board.

The founder or the person authorized by the founder shall appoint the managing board.
The statute may also provide for the establishment of other organs of the foundation.
 Article 24

The managing board shall:

1) implement the foundation’s goals defined in the statute;
2) give approval for legal actions that were taken on behalf of the foundation before its
registration;
3) manage the assets of the foundation;
4) amend the statute and other acts, unless otherwise determined in the statute;
5) appoint persons authorized to represent the foundation;
6) decide on merger, separation, transformation and cessation of the foundation;
7) prepare financial and other reports;
8) perform other duties pursuant to the Law and the statute.

Article 25.

The managing board shall have at least three members.

A natural or legal person can be a member of the managing board via authorized proxy.
Members of the managing board shall not be:
1) Minors
2) persons employed at the foundation;
3) members of other bodies of the foundation;
4) persons supervising the foundation’s work.

IV. - REGISTRATION OF ASSOCIATIONS AND FOUNDATIONS

Article 26.

An association shall be entered in the registry of associations, and a foundation shall be entered in
the registry of foundations.
The registry of association shall be maintained by the FBIH ministry if the statute foresees that
the association shall implement activities in two or more cantons, and if the statute foresees that
the association shall implement activities in one canton, the registry shall be maintained by the
cantonal authority.
The registry of all foundations and all international non-governmental organizations shall be
maintained by the FBIH ministry.
The association or foundation shall get the status of a legal person on the date of registration.

Article 27.

The registry of associations or foundations shall be open for public.

Everyone shall be able to review the data entered in the registry referred to in Paragraph 1 of this
Article, or to request a photocopy of the entry in the registry, or of any document from the file of
the registered association or foundation. A photocopy shall be issued no later than 15 days from
the day the application was submitted.

By way of derogation from Paragraph 2 of this Article, the authorized representative of an

association or foundation may request from the registered body to withhold certain information in
the registry from the public, if it represents a risk to the personal integrity of the Founders or
members of the association or foundation (protection of persons suffering from communicable
diseases, treated addicts, abuse victims etc.) The FBiH ministry or the cantonal authority shall
decide on the request referred to in Paragraph 3 of this Article within eight days from the request
submission date.

The FBiH Minister of Justice shall define the forms and method of keeping the registry of
associations or foundations.

Article 28.

An application for registration of an association or foundation shall contain the following:

1) The founding act i statute of the association or foundation;
2) A list of members of managing bodies, and
3) Decision of the competent authority appointing persons authorized to represent the
association or foundation;

Article 29.

The FBiH ministry or cantonal authority shall issue a decision on the application for registration.
The decision on registration of an association or foundation shall contain:
1) registration date;
2) registration number;
3) the name and seat of the association or foundation;
4) goals or activity of the association or foundation, and
5) names of persons authorized to represent it.

A copy of the decision on registration of the association or foundation shall be submitted to the
competent administration body which is in charge of the activity of the association or foundation
for the purpose of performing inspections, and to the FBiH ministry for the purposes of keeping
the central registry of associations and foundations.

Article 30.

Upon receiving the application for registration, the FBiH ministry or cantonal authority shall
issue a certificate confirming the receipt.

The FBiH ministry or cantonal authority shall issue a decision on the application for registration
within 30 days from the date of receipt of a complete application.

Article 31
If the FBiH ministry or cantonal authority finds that requirements referred to in Articles 14 and
22 of this Law have not been meet in the statute of the association or foundation, or that all
documents required by Article 28 of this Law have not been attached to the application for
registration, the applicant shall be requested in writing to remove the found deficiencies within 15
days from the date of receiving such notification.
If the applicant fails to address the found shortfalls within the prescribed period, the FBiH
ministry or cantonal authority shall issue a decision rejecting the application for registration.
If the FBiH ministry or the cantonal authority finds that the goals or activities of the association
or foundation contravene the provisions of Article 3 (2) and (3) of this Law, it shall issue a
decision refusing the application for registration

Article 32.

Decisions referred to in Article 29(1), 31(2) and(3), 33(2) and 42 of this Law shall be final and
cannot be appealed, but they may become subject to administrative proceedings before the
Supreme Court of the Federation of Bosnia and Herzegovina or the before the cantonal court
against decisions of cantonal authorities.
Article 33.

An association or foundation shall inform the FBiH ministry or cantonal authority about any
changes in the statute, name, seat, activity, authorized representative, members of managing
bodies, merger, separation or transformation, and cessation of the association or foundation
within 30 days from the date of introducing the change.
A decision shall be issued on the entry of change referred to in paragraph 1 of this Article into the
registry.
A copy of the decision referred to in Paragraph 2 of this Article shall be delivered to the FBiH
ministry.

Article 34.

The decisions on registration and on cessation of the association or foundation which are issued
by the FBiH ministry shall be published in the “Official Gazette of the Federation of BiH”, and
decisions issued by the cantonal authority shall be published in the cantonal official gazette.

V - REGISTRATION OF FOREIGN AND INTERNATIONAL NON-GOVERNMENTAL

ORGANIZATIONS

Article 35.

Provisions of this Law regulating the registration and deletion of associations and foundations
from the registry shall apply also to the registration of offices, branch offices or other types of
organization of a foreign or international non-governmental organization (hereinafter: foreign
non-governmental organization), unless otherwise stipulated by law.

Article 36.
Foreign and international non-governmental organizations shall be entered in the registry of the
FBiH ministry. Their bodies can establish a seat and operate on the territory of the Federation
upon the entry in the registry, if they obtain the approval of the Federation Government and if
their activity does not contravene the Constitution, law and international treaties.

Article 37.

With the application for registration submitted to the FBiH ministry, a foreign non-governmental
organization (NGO) shall enclose the decision on registration in the home country, decision of
the competent body of the NGO on opening of the office, branch or another organizational form
of the foreign NGO in the Federation, seat and address of the office in the Federation, and a
photocopy of an identification document of the authorized representative.

If laws in the country of origin do not require entry in the registry, the foreign non-governmental
organisation shall enclose with the application for registration another document verified by the
notary, court or other competent authority proving that the organization is a legal entity in its
country of origin.

If the decision or written document referred to in Paragraph 2 herein concerning the registration
in the country of origin does not contain information about the goals and activities specified in
the statute of the non-governmental organization, the translated statute or another internal act
clearly detailing the goals of the non-governmental organization shall be submitted with the
application for entry in the registry.

VI- ASSETS OF ASSOCIATIONS AND FOUNDATIONS

Article 38.

Assets of associations and foundations shall comprise of:

1) Membership fees for associations;
2) voluntary contributions and gifts of natural and legal persons;
3) funds allocated from the budget;
4) Income from interest, dividends, capital gains, rents, fees and similar sources of passive
income;
5) income from the economic activity;
6) other income generated, pursuant to the Law and the statute.

Article 39

The body of the association or foundation designated in the statute shall supervise the use of
resources of the association or foundation for specified purposes.

Article 40

An association and foundation shall be obligated to duly keep their business records and prepare
financial reports, pursuant to the Law and other legislation.
 Article 41.

Organs of the association or foundation shall manage the association’s or foundation’s assets with
due diligence.
If the association or foundation performs an economic activity, pursuant to the provisions of this
Law, members of the managing board shall manage the assets used in the performance of such
activity with due care.
A member of the association’s or foundation’s body may not vote on property issues when
he/she, his/her spouse or relative up to the third degree is an interested party. Members of the
association’s or foundation’s bodies shall make sure that all legal transactions of the association
or foundation are based on the market value, or concluded under more favourable terms for the
association or foundation.

VI– DELETION FROM THE REGISTRY

Article 42.

An association or foundation shall be removed from the registry once the decision on the
cessation of operations of an association or foundation issued by the FBiH Ministry or cantonal
authority becomes final, or when the Supreme Court of the Federation of Bosnia and
Herzegovina or the cantonal court adopts a final ruling to suspend the association or foundation.

Article 43.

An association or foundation shall cease operations if:

1) The competent body of the association or foundation adopts a decision on dissolution or a
decision on merger, separation or transformation of the association or foundation;
2) conditions referred to in Article 9 (4) of this Law have been fulfilled, or it is determined that
the association or foundation has ceased to perform its activities.

An association shall be deemed as having ceased performing its activities if:

1) An assembly session has not been held in twice the time set out in the statute for holding
assembly sessions;
2) Membership of an association drops below the number required by this Law for the
establishment of an association, and the assembly of the association fails to adopt a decision on
admitting new members within three months from the membership decrease date.

Irrespective of Paragraph 2 point 2 of this Article, an association shall not cease to exist if
admitting of new members is not possible due to objective circumstances caused by the nature of
goals and activities defined in the association’s statute.

Once the FBiH ministry or cantonal authority confirms the facts referred to in Paragraph 1 of this
Article, it shall issue a decision on the cessation of operations of the association or foundation.

Article 44.

An association or foundation shall be suspended if:

1) An association or foundation contravenes provisions of Article 3 Paragraph 2 of this Law;
 2) An association or foundation continues to carry out activities that violate the goals set out
in the statute (Articles 14 and 22), even after being penalized for recidivism (Article 50);
3) An association or foundation continues to operate, even after being penalized for
recidivism (Article 50).
The FBIH prosecutor or cantonal prosecutor shall initiate the procedure to prohibit the work of an
association or foundation.

Article 45.

The Supreme Court of the Federation of Bosnia and Herzegovina or the cantonal court shall pass
a ruling on suspending an association or foundation. The suspension ruling shall include
measures regarding the disposal of assets, as well as all other necessary measures.
Provisions of the law regulating criminal proceedings shall apply to the proceedings for
suspending an association or foundation initiated under Article 3 Paragraph 2 of this Law.

Article 46.

The remaining assets of an association or foundation which is removed from the registry shall be
distributed in compliance with the decision of the competent body of the association or
foundation, pursuant to the provisions of the statute.
By way of derogation from Paragraph 1 of this Article, assets of an association or foundation
which enjoyed tax, customs and other benefits, or which received budget donations or donations
from citizens or legal persons in the total amount exceeding BAM 10,000.00 in the previous or
current calendar year shall be awarded to another foundation or association registered in the
Federation with the same or similar activity defined in its statute.
If the competent body of the association or foundation fails to issue a decision on the distribution
of assets until the date of removal from the registry, the FBIH ministry or the cantonal authority
shall issue a decision on the award of the remaining assets to another foundation or association
registered in the Federation with the same or similar activity defined in its statute.

VIII - SUPERVISING THE LEGALITY OF OPERATIONS OF ASSOCIATIONS AND

FOUNDATIONS

Article 47.

Competent FBIH or cantonal administration body in charge of monitoring the area of activity of
the association or foundation shall supervise the legality of operations of the associations and
foundations.

Article 48.

During the administrative supervision over the execution of public powers, the competent FBIH
bodies performing the supervision referred to in Article 46 of this Law shall have the right and
duty, in particular, to:
1) decide on appeals against administrative acts issued in the execution of public powers;
 2) exercise other legal rights of a second instance body in the administrative procedure;
3) provide professional instructions and explanations for the implementation of the Law,
other regulations and general acts relating to the execution of public powers.

Article 49.

An association or foundation executing public powers shall submit reports, at least once a year, to
the administration body which supervises their work, detailing the execution of public powers
vested in them.

Article 50

If an association or foundation executing public powers fails to perform the assigned tasks, in
compliance with their duties, the competent administration body performing the supervision shall
order (in writing) the managing body of the association or foundation to undertake measures to
eliminate the found shortfalls, and take other measures compatible with its rights and duties.
Activities referred to in Paragraph 1 of this Article shall be implemented in compliance with the
provisions of the Law on Administration in the Federation of Bosnia and Herzegovina (“Official
Gazette of the Federation of BiH”, 28/97) relating to public powers.

IX – PENAL PROVISIONS

Article 51.

A fine ranging from 300.00 BAM to 3,000.00 BAM shall be imposed against an association or
foundation if:
1) the association or foundation carries out activities that contravene the goals and activities set
out in the statute (Articles 3(2) and (3), 4(1) and (2), 14 and 22);
2) it fails to use its registered name in legal transactions (Article 7(5));
3) it fails to report to the FBiH ministry or cantonal authority any changes to the entry in the
registry within 30 days from the date of change (Article 33);
4) it fails to use the profit from economic activities contrary to the law and the statute;

A fine ranging from 100.00 BAM to 1,000.00 BAM shall be imposed also against the responsible
person within the association or foundation for the offense referred to in Paragraph 1 of this
Article.
Responsible person referred to in Paragraph 2 of this Article is a person authorized to represent,
or another person directly assigned with the specific task.

X- TRANSITIONAL AND FINAL PROVISIONS

Article 52

The association and foundation that are entered in the registry of citizens’ associations or registry
of foundations, as well as the registry of humanitarian organizations shall align their general acts
with this Law until the date of entry into force of this Law, and if they are in contradiction to this
Law, within six months following the entry into force of this Law.

Article 53.

Registration procedures that have not been finalized until the date of the entry into force of this
Law shall be finalized pursuant to this Law.

Article 54.

The FBIH Minister of Justice shall adopt the regulation on keeping of registry books of
associations and foundations referred to in Article 27(5) of this Law within 60 days following the
entry into force of this Law, and determine the amount of registration fee for associations and
foundations registering with the FBIH ministry.
The amount of registration fee for associations registering with a cantonal authority shall be
determined by the head of that authority.

Article 55.

Provisions of this Law shall apply accordingly to unions and other forms of affiliation between
associations or foundations.

Article 56.

On the date of entry into force of this Law, the following laws shall cease to have effect: Law on
Citizens’ Associations (Official Gazette of the Federation of BiH, 6/95), Law on Foundations and
Endowments (Official Gazette of the Federation of BiH, 16/98) and Law on Humanitarian
Activity and Humanitarian Organizations (Official Gazette of the Federation of BiH, 35/98),
except for Articles 2, 5, 11 and 12, 22(2), 26 and 27, 29(2), 30(1) and 34 and 35.

Article 57

This Law shall enter into force eight days after being published in the “Official Gazette of the
Federation of BiH”.