On October 8, 2024, the Government issued Decree No. 126/2024/ND-CP on the organization, operation, and management of associations ("Decree No. 126"), which includes amendments and supplements to a number of new points related to the regulations on the organization, operation, and management of associations operating on Vietnamese territory. In today's article, ATA Legal Service would like to send you some noteworthy provisions in Decree No. 126."
1. Provisions governing the organization and operation of the association are detailed
Compared to the provisions in Decree No. 45/2010/ND-CP ("Decree No. 45"), Decree No. 126 has added more conditions for the establishment of associations. Specifically:
- Association Naming Guidelines: The name of the association must: (1) be in Vietnamese or its romanized equivalent; if not, a foreign language may be used; (2) align with its purpose and activities; (3) be distinct from existing organizations; and (4) uphold social ethics and cultural norms.
- Having assets to ensure the organization's operations.
This additional provision ensures the principles of voluntariness, self-governance, and self-financing. The requirement for an organization to have assets is essential for its sustainability and operations.
2. Clearly define the hierarchy of authorities responsible for handling association procedures
Prior to Decree No. 45, the establishment and operation of associations were subject to approval by either (1) the Ministry of Home Affairs for national or inter-provincial associations, or (2) the provincial People's Committee for provincial associations, with the possibility of delegation to the district People's Committee for communal associations.
However, Decree No. 126 has clearly delineated the specialized roles and responsibilities of each agency. In particular;
- The Prime Minister approve the charter for a nationwide association with a party organization;
- The Minister of Home Affairs permits the establishment and operation of associations operating nationwide or across provinces, except as otherwise provided by laws and decrees on the establishment and approval of association charters;
- The Chairperson of the Provincial People's Committee is authorized to recognize the establishment of the association's organizing committee and to grant permission for the establishment and operation of associations within the provincial jurisdiction.
- The Chairperson of the People's Committee at the district level is authorized to recognize the establishment campaign committee; to permit the establishment and operation of associations operating within the district and commune.
3. Expanding the rights and obligations of the Association
Decree No. 126 further outlines additional rights and responsibilities for Associations. Notably, it introduces the following provisions:
a) The rights of the Association:
- Associations operating nationwide or across provinces may set up branches or representative offices in other provinces or centrally-governed cities and establish overseas offices;
- Funded by the state for undertaking tasks assigned by the Party and the State of Vietnam.
- Mediation of disputes, resolution of feedback, suggestions, complaints, and denunciations related to the association.
b) The obligations of Associations
- No recognition, honoring, glorification, or conferring of titles in violation of the law.
- Tập hợp, phát triển hội viên; tổ chức, phối hợp hoạt động giữa các hội viên vì lợi ích chung của hội và thực hiện đúng tôn chỉ, mục đích hoạt động của hội.
- Recruiting and developing membership; organizing member activities for the association's benefit and to fulfill its statutes.
- Propagating and popularizing the Party's guidelines, the State's policies and laws related to the field of association activities, the association's charter, regulations, and provisions, and to foster and update knowledge for association members.
- Complying with all regulations governing the receipt, management, and use of foreign aid; to ensure the effective management and utilization of funds and aid, and to be fully accountable for the aid funds as stipulated by law.
- Reporting the outcomes of dispute resolution, petitions, complaints, and grievances related to the association, submitted to the relevant government authority.
- Issuing regulations governing the operations of the executive board, standing committee, inspection committee, and other association activities, including asset management, finance, membership, and dispute resolution. These regulations must comply with the law and the association's charter.
- Updating the organization's and activities' status into the association's database and cooperating in building and operating the association's database.
- Complying with the legal provisions on anti-corruption, anti-money laundering, and counter-terrorism financing
4. The Association’s information will be automatically linked to the National Public Service Portal.
To implement, develop, and manage association databases in accordance with the Party's policy on promoting information technology, as outlined in Politburo Resolution No. 36-NQ/TW, association information will be integrated into the Ministry of Interior's Public Service Portal and other relevant national databases. This integration aims to streamline administrative procedures and facilitate the management of association activities.
The information about the association shared on the database will include the following contents:
- Information is established when the establishment initiative committee proposes the establishment of the association.
- A copy or a digitally signed electronic version of the application file for the establishment, division, separation, merger, consolidation, dissolution, name change, approval of the charter or amendment of the association's charter;
- Information on the association's executive board, standing committee or other governing bodies, president, vice president, organizational structure, headquarters, contact number, and term.
- Regular and special reports;
- Asset and financial information of the association;
- Other relevant information (if any).
Decree No.126/2024/ND-CP takes effect from November 26, 2024 ./.
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