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LAW OF THE REPUBLIC OF ARMENIA

of November 19, 2001 No. ZR-247

About local managerial government offices

(as amended on 07-02-2020)

Accepted by National Assembly of the Republic of Armenia on October 23, 2001

Chapter 1. General provisions

Article 1. Subject of regulation of the Law

This Law establishes legal status municipal (further - organization) managerial organizations, procedure for their creation, reorganization and activities.

Article 2. Legislation on approval

The legislation on organization consists of the Civil code of the Republic of Armenia, this Law, other laws and legal acts, and also international treaties of the Republic of Armenia. Provisions of this Law are effective so as far as do not contradict the laws of the Republic of Armenia "About local self-government", "About local self-government in the city of Yerevan" and "About communal service" and to others.

Article 3. Basic provisions about organization

1. The organization is the organization which does not have the status of the legal entity which is created for the purpose of full and effective implementation of the powers assigned to local government bodies and ensuring their participation in civil legal relationship.

2. The organization within the competence can acquire and perform the property and personal non-property rights on behalf of community, perform duties, appear in court as the claimant or the defendant.

3. The organization has the name which includes the name of area, community, and also the word the office of municipality (for Yerevan - the city hall of Yerevan).

4. The location of organization is the location of its permanent body.

5. The organization has round stamp with the image of the State Emblem of the Republic of Armenia and the name of organization in Armenian. The organization can have forms with its name, emblem and other means of identification.

6. The organization has separate balance.

7. No. ZR-48 voided according to the Law of the Republic of Armenia of 07.02.2020

Article 4. Property of organization

1. The property of organization is created of the property transferred to its ownership (assigned to it), the order and use of the founder. The property is transferred to organization according to the legal act, and it is considered in its balance.

The founder has the right to return back the property transferred to them to organization at any time.

According to the decision of the founder also the right to hold shares or shares can be allocated for organization.

2. The organization has the right in the cases and procedure provided by this Law, other legal acts and its charter to use, own and dispose of the property transferred to it according to the purposes of its activities and purpose of property.

3. The property given to organization by the founder is subject to accounting in the procedure established by the Government.

Article 5. Activities of organization

1. The organization has the right to perform only such activities which are directed to full and effective implementation of the powers allocated for relevant organ of local self-government and also to ensuring its participation in civil legal relationship.

2. The organization cannot perform business activity. For the transactions made by organization and the rendered services only local duties, or local payment in the size and procedure except for provided by the Law of cases established by the law can be collected.

3. Maintenance costs of organization, are completely financed from means of the government or communal budget. The organization performs the financial transactions through treasurer system.

Article 6. Responsibility of organization

Responsibility for obligations of organization is born by community.

Chapter 2. Creation of organization

Article 7. Creation of organization

1. Founder of organization is the community.

2. The organization is created according to the decision of the founder. The decision of the founder on creation of organization of the executive authority and other bodies establishes also powers of the relevant state body.

3. The organization according to the procedure, the established law, is subject to registration by the body performing registration of legal entities.

4. The charter of organization is approved by the founder. The organization is considered created from coming into force of the legal act of the founder about approval of its charter. 

Article 8. Charter of organization

1. The organization acts on the basis of the laws, other legal acts and the charter approved by the founder.

2. The charter of organization contains:

a) name of organization;

b) organization location;

c) purposes of activities of organization, its task and function;

d) structure of organization;

e) structure and powers of governing bodies of organization;

e) procedure for the order, ownership and use of the property assigned to organization;

g) procedure for reorganization of organization or termination of its activities.

By the charter of organization also other provisions which are not contradicting the law can be established.

3. Changes in the charter of organization affirm the founder.

Article 9. Structure of organization

1. The structure of organization is approved by his founder.

The organization can have structural divisions.

2. The organization can have also other allocated divisions out of the place of its stay.

3. The division allocated from organization is considered created from coming into force of the decision on its organization.

The allocated division of organization can have the charter which affirms according to the procedure, stipulated by the legislation or the charter of organization.

4. The allocated division of organization performs separate functions of organization or their part and acts on behalf of community. Only in cases, stipulated by the legislation or the charter of organization, the allocated division has the right on behalf of organization to acquire and perform the property and personal non-property rights, to perform duties, to appear in court as the claimant or the defendant.

5. The allocated division of organization can have round stamp with the image of the coat of arms of the Republic of Armenia and the name of organization in Armenian, forms, emblem and other means of identification.

Heads of the allocated divisions of organization are appointed and exempted according to the procedure, established by the law or the charter of organization, and act on the basis legislations, the charter of organization and the allocated division.

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