Circular No. 01/2004/TT-BNV guiding the implementation of certain provisions of Decree No. 88/2003/NĐ-CP dated July 30, 2003 of the Government on the organization, operation, and management of associations.

Guidelines for Implementing Certain Provisions of Decree No. 88/2003/NĐ-CP

dated July 30, 2003, of the Government on the Organization, Operation, and Management of Associations

Implementation of Decree No. 88/2003/NĐ-CP dated July 30, 2003, of the Government on the Organization and Management of Associations (hereinafter referred to as the Decree), the Ministry of Home Affairs provides guidance as follows:

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I. Scope of Regulation

The scope of regulation includes associations, association federations, association unions, general associations, leagues, chambers, clubs, and other associations named according to the provisions of law (hereinafter collectively referred to as associations) with legal personality, operating nationwide or across provinces; within a province, centrally governed city (hereinafter collectively referred to as province); within a district, town, urban district, provincial-level city (hereinafter collectively referred to as district); within communes, wards, towns (hereinafter collectively referred to as commune).

II. Number of Members in the Association Formation Promotion Board, Documents for Establishing the Association Formation Promotion Board, Recognition of the Association Formation Promotion Board, and Tasks of the Association Formation Promotion Board

1. To establish an association, the founders must establish an association formation promotion board.

The number of members in the association formation promotion board is specified as follows:

a) For associations operating nationwide or across provinces, there must be at least 10 members;

b) For associations operating within a province, there must be at least 5 members;

c) For associations operating within a district or commune, there must be at least 3 members;

d) For economic organization chambers operating nationwide, there must be at least 5 representatives from economic organizations; for chambers operating within a province, there must be at least 3 representatives from economic organizations within the province.

2. Documents for establishing the association formation promotion board include:

a) A request for recognition of the association formation promotion board, specifying the name of the association, its objectives, the field it plans to operate in, its operational scope, the planned preparatory period for establishment, and the temporary meeting place;

b) A list and brief profiles of those intended to be members of the association formation promotion board, including their full names, date of birth, residence, educational level, and professional qualifications.

3. Recognition of the association formation promotion board:

a) For boards operating nationwide or across provinces, the recognition is decided by the Ministry or agency equivalent to a ministry (hereinafter collectively referred to as the Ministry) managing the state administration in the industry or field that the association plans to operate in;

b) For boards operating within a province, the recognition is decided by the Department or agency under the provincial People's Committee (hereinafter collectively referred to as the Department) managing the state administration in the industry or field that the association plans to operate in;

c) For boards operating within a district or commune, the recognition is decided by the District People's Committee.

4. Tasks of the association formation promotion board:

a) Mobilizing citizens and organizations to register to join the association;

b) Preparing the documents for establishing the association as stipulated in Article 8 of the Decree.

After completing the preparatory work for establishing the association, the association formation promotion board shall submit the documents to:

- The Ministry of Home Affairs for associations operating nationwide or across provinces;

- The Provincial Department of Home Affairs for associations operating within a province, district, or commune.

The association formation promotion board shall dissolve itself when the congress elects the association's executive committee.

III. Number of Citizens and Organizations Registering to Join the Association

1. For associations operating nationwide or across provinces, there must be at least 100 signatures (applications to join) from citizens and organizations in multiple provinces who meet the conditions and voluntarily register to join the association.

2. For associations operating within a province, there must be at least 50 signatures (applications to join) from citizens and organizations in the province who meet the conditions and voluntarily register to join the association.

3. For associations operating within a district, there must be at least 20 signatures (applications to join) from citizens and organizations in the district who meet the conditions and voluntarily register to join the association.

4. For associations operating within a commune, there must be at least 10 signatures (applications to join) from citizens and organizations in the commune who meet the conditions and voluntarily register to join the association.

5. For economic organization chambers where members are representatives of legally recognized economic organizations of Vietnam operating nationwide, there must be at least 11 representatives from multiple provinces; for chambers operating within a province, there must be at least 5 representatives from the same industry or field within the province who meet the conditions and voluntarily register to join the chamber.

For professional associations with specialized expertise, the number of citizens and organizations voluntarily registering to join the association will be determined by the competent authority as stipulated in Article 15 of the Decree, considering each specific case.

IV. Approval of the Association Charter

1. Within 30 days from the end of the congress, the association leadership shall submit a report as stipulated in Article 13 of the Decree and a document requesting approval of the association charter to the competent authority as stipulated in Article 15 of the Decree:

a) The Ministry of Home Affairs for associations operating nationwide or across provinces;

b) The Provincial People's Committee (through the Provincial Department of Home Affairs) for associations operating within a province, district, or commune.

2. Within 60 days from receiving the report as stipulated in Article 13 of the Decree and the document requesting approval of the association charter, based on the provisions of law, the content of the draft association charter, and the opinions of the competent management authorities, the competent authority as stipulated in Article 15 of the Decree shall decide to approve the charter.

If the association charter contravenes legal provisions, the competent authority as stipulated in Article 15 shall guide the association leadership to complete the charter in accordance with current regulations.

V. Organization, System, Policies for Association Staff, and Operating Funds

1. The organization of the association is regulated by the association charter.

2. Personnel working at the permanent office of the association are decided by the association itself. Salaries and other policies for personnel working at the permanent office of the association are implemented according to the association's regulations, funded by the association's budget. For staff receiving salaries from the state budget, salaries and other policies are implemented according to state regulations.

2. Personnel working at the permanent office of the association shall be determined by the association itself. The salary and other policies and benefits for personnel working at the association's permanent office shall be implemented according to the association's regulations and funded from the association's budget. For officials receiving salaries from the state budget, the salary and other policies and benefits shall be implemented in accordance with state regulations.

3. The operating expenses of the association shall be implemented on the principle of self-sufficiency. In cases where the association carries out activities related to state tasks, it shall be supported by the state budget. The support from the state budget for the association shall be carried out in accordance with Decision No. 21/2003/QĐ-TTg dated January 29, 2003 of the Prime Minister regarding the state budget's support for political-social-professional organizations, social organizations, and social-professional organizations for activities related to state tasks.

VI. Membership Admission for Associated Members and Honorary Members

1. For associations of economic organizations, associated members admitted are joint ventures or wholly foreign-owned enterprises operating in Vietnam (hereinafter referred to as foreign-invested enterprises).

2. Associations (except those of economic organizations) may only admit associated members and honorary members who are Vietnamese citizens and organizations. The rights and obligations of associated members and honorary members shall be stipulated in the association’s charter.

VII. Matters Concerning the Establishment of Representative Offices, Changes in Headquarters Location, and Leadership Changes of the Association

1. Regarding the establishment of representative offices.

For associations with nationwide operational scope, when establishing a representative office in another locality, permission must be sought from the People's Committee of the province where the representative office will be located. The application for permission must clearly state:

a) The necessity of establishing a representative office;

b) The number of association members gathered in that locality and their main activities;

c) The location of the headquarters (address, telephone, fax...).

After receiving the consent of the People's Committee of the province regarding the permission to establish a representative office, the association must report in writing to the Ministry of Home Affairs and the competent state management agency overseeing the industry or field in which the association operates.

2. When changing the working headquarters of the association and leadership positions such as chairman, vice-chairman, general secretary, or equivalent positions, the association's leadership must report in writing to the competent state authority:

a) For associations with nationwide or inter-provincial operational scope, the association's leadership must send a written report to the Ministry of Home Affairs and the competent state management agency overseeing the industry or field in which the association operates.

b) For associations with provincial operational scope, the association's leadership must send a written report to the Provincial Department of Home Affairs and the provincial department under the People's Committee managing the industry or field in which the association operates.

c) For associations with operational scope at the commune level, the association's leadership must send a written report to the Provincial Department of Home Affairs and the People's Committee of the district.

Reports on changes in headquarters must clearly state the new location (address, telephone, fax).

Reports by the association on changes in the positions of chairman, vice-chairman, general secretary, or equivalent positions must include the resolution on the election of these positions and the curriculum vitae of the new leaders.

VIII. Associations of Economic Organizations

In addition to the rights stipulated in Article 22 of the Decree, associations of economic organizations also have the following rights and responsibilities:

1. To serve as the coordinating link between member enterprises, promoting joint ventures and collaborations for mutual benefit;

2. To assist member enterprises in technology transfer, management experience sharing, and trade promotion;

3. To protect the legitimate rights of members in commercial disputes and mediate conflicts and disputes among members.

IX. Matters Concerning the Division, Splitting, Merger, Dissolution, and Renaming of Associations

1. The division, splitting, merger, and dissolution of associations shall be carried out in accordance with the provisions of the Civil Code.

2. According to Clause 1 of Article 28 of the Decree, if there are no activities such as holding executive board meetings, standing committee meetings, and other activities as stipulated in the association's charter for a continuous period of 12 months, the competent state authority specified in Article 15 of the Decree shall decide to dissolve the association.

3. Matters concerning the division, splitting, merger, and consolidation of associations must be discussed within the executive board and submitted to the congress for decision. After the congress passes a resolution on the division, splitting, merger, or consolidation of the association, the executive board must request the competent state authority specified in Article 15 of the Decree to make a decision. The establishment of a new association after passing a resolution on division, splitting, merger, or consolidation shall be carried out according to the provisions of Article 8 of the Decree.

4. Matters concerning the renaming of associations must be discussed within the executive board and submitted to the congress for decision. After the congress passes a resolution on renaming the association, the association's leadership must submit a proposal, resolution on renaming, and draft charter to the competent state authority specified in Article 15 of the Decree for examination and decision.

X. Handling Violations

1. For association representatives and leadership who intentionally prolong the term of the congress beyond the stipulated period in the association's charter.

Within 12 months from the end of the congress term, if the association does not convene a congress, the competent state authority specified in Article 15 of the Decree shall issue a written notice requiring the association to organize a congress. If the association representative and leadership fail to organize a congress within six months from receiving the notice, the competent state authority specified in Article 15 of the Decree shall take measures including:

a) Suspending the operations of the association by the representative and appointing a temporary member of the leadership to manage the association's activities until a new executive board is elected;

b) Organizing an executive board meeting to elect a preparatory committee to organize the congress. If the association still fails to convene an executive board meeting, it shall be dissolved in accordance with Clause 1 of Article 28 of the Decree.

2. In cases of establishing a legal entity subordinate to the association without proper authority.

Establishing a legal entity subordinate to the association without proper authority, the association representative shall bear responsibility under the law, and the competent state authority specified in Article 15 of the Decree shall require the association to issue a resolution to dissolve the entity and request the competent state authority to recover the seal.

3. Matters concerning the organization of the congress term of the association must be reported:

a) For associations with nationwide or inter-provincial operational scope, reports must be made to the Ministry of Home Affairs and the competent state management agency overseeing the industry or field in which the association operates;

b) For associations with provincial operational scope, reports must be made to the Provincial Department of Home Affairs and the provincial department under the People's Committee managing the industry or field in which the association operates;

c) For associations with operational scope at the commune level, reports must be made to the Ministry of Home Affairs and the People's Committee of the district.

The organization of the congress without reporting shall be handled according to the decision of the competent state agency as prescribed in Article 15 of the Decree, requiring the association to stop organizing the congress or not approve the charter adopted at the congress.

4. Disciplinary measures against the representative of the association and the association's leadership shall be decided by the association in accordance with the association's charter and the law, and then reported to the Ministry of Home Affairs and the management ministry of the sector or field in which the association operates for nationwide or inter-provincial associations;

The Department of Home Affairs and the department under the provincial People's Committee managing the field in which the association operates for provincial associations; the Department of Home Affairs and the district People's Committee for district or commune-level associations.

XI. Responsibilities of State Management Agencies towards Associations

1. The Ministry of Home Affairs assists the Government in uniformly managing associations, coordinates with ministries, provincial People's Committees to implement state management over associations as stipulated in Article 32 of the Decree and is responsible for:

a) Coordinating with relevant agencies in managing the signing and implementation of international agreements by associations as prescribed in Decree No. 20/2002/NĐ-CP dated February 20, 2002 of the Government on the signing and implementation of international agreements by provinces, centrally-administered cities, political-social organizations, and social-professional organizations;

b) Seeking written opinions from the state management body of the industry or field in which the association operates when granting permission to establish; divide, separate; merge; unify; change name; dissolve and approve the charter of the association for nationwide or inter-provincial associations.

2. Ministries and ministerial-level agencies as prescribed in Article 33 of the Decree are responsible for:

a) Creating conditions for associations to be established in accordance with the law;

b) Creating conditions for associations to participate in activities within the scope managed by the Ministry in line with the association's conditions and capabilities;

c) Guiding associations to operate in compliance with the Ministry's regulations;

d) Guiding departments, sectors, localities in managing the activities of associations within the scope managed by the Ministry.

3. Provincial People's Committees are responsible for:

a) Creating conditions to help associations operate effectively, encouraging association activities linked to the implementation of socio-economic development tasks of the locality;

b) Creating conditions for associations to participate in the process of socializing activities to develop health, culture, education, science and technology, sports in the locality, considering creating conditions for associations to participate in some public services that the associations have the conditions and capability to perform;

c) For newly established associations or those facing many difficulties, all levels of People's Committees should create conditions to help associations stabilize their operations.

4. Departments of Home Affairs are responsible for:

a) Advising and assisting the provincial People's Committee in overseeing and managing associations locally; resolving issues arising during the organization and operation of associations; coordinating with relevant sectors to create conditions to help associations operate effectively;

b) Seeking written opinions from the provincial department managing the industry or field in which the association operates for provincial associations or the district People's Committee for district or commune-level associations as a basis for reviewing and submitting to the provincial People's Committee for decisions on granting permission to establish; divide, separate; merge; unify; change name; dissolve and approve the charter.

Summarizing the situation of organization, operation, and management of associations in the province and reporting to the Ministry of Home Affairs.

XII. Implementation Organization

This Circular takes effect fifteen days after its publication in the Official Gazette.

Ministries, ministerial-level agencies, government agencies, provincial People's Committees, and associations are responsible for implementing this Circular. Any difficulties encountered during implementation should be promptly reflected to the Ministry of Home Affairs for study and amendment./.