Part I: Associations

Chapter IV: Dissolution of Associations

Article 41:

An association may be dissolved by a resolution of the extraordinary general assembly, according to the rules set forth in its statute. The dissolution resolution may include the appointment of a liquidator or more, determination of a term for liquidation and the liquidator’s fees.

Article 42:

The association may be dissolved by virtue of a ruling of the competent court, at the request of the administrative body under the usual proceedings to file lawsuits, in the following cases :
  1. Disposal of its funds or appropriation for purposes other than those designated.
  2. Obtaining funds from sending funds to a foreign party, in contravention to provision of the second paragraph of Article 16 hereof.
  3. Commiting a gross violation of law or the public order or morality.
  4. Failure to hold the general assembly for two years consecutively or failure to convene the assembly upon invitation in application of the provision of the second paragraph of Article 40 hereof.
  5. Joining membership or affiliation to a club or society or authority or organization domiciled outside the Arab Republic of Egypt, in violation of the provision of Article 16 hereof.
  6. Existence of proof that its real purposes are to target or practise an activity prohibited under Article 11 hereof.
  7. Collecting contributions in violation of the provisions of the first paragraph of article 17 hereof whenever so requested, the competent court, may issue an express injunction within maximum three days, to stop the activity in violation pending settlement of the subject matter of the dissolution request.
In all cases, the competent court elect to exclusively judge as invalid the act in violation, to eliminate cause of violation on which the request is based or to discharge the board of directors. Should the competent court decide to dissolve the association, it shall stipulate into its ruling the appointment of one or more liquidator for a definite period and a defined fee. Every party concerned may contest the ruling before the court of appeal according to proceedings and within the timelimits prescribed. Any members of the dissolved association shall be deemed as a concerned party.

Article 43:

In cases stipulated in the preceding two articles, where the timelimit prescribed for liquidation has expired without it beeing completed, it may be extended for another similar period by a resolution of the General Federation of NGO’s and Associations. Otherwise, liquidation shall be completed by the administrative body.

Article 44:  

The administrators in charge of the dissolved association shall surrender to the liquidator immediately upon request, the association’s funds, documents and registers, together with any deposit taken where the association’s funds are deposited and any debtors, they shall refrain from disposing of any affair, funds or rights of the association without an order in writing by the liquidator.

Article 45:

When liquidation has been completed the liquidator shall allocate the proceeds in accordance with the provisions of the association’s statute. Should such provision be nonexistent in the statute or, if available, impossible to implement the proceeds of liquidation shall accrue to the NGO Assistance Fund referred to in chapter IV hereof.

Article 46:

The court of first instance, within which jurisdiction the assosiation’s headquarters lie, shall be exclusively competent to decide on actions filed by or against the liquidator.

Article 47:

Subject to the provision of Article 44 hereof, members of a dissolved association and any other administrator in charge shall be banned from pursuing its activities or disposing of its funds. In addition, it is prohibited for any person to participate in the activities of any dissolved association.

Bawaba


   


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