The Croatian Constitution from 1990 ensures the right to freedom of association in article 43. According to this article citizens of Croatia are guaranteed freedom of association in order to promote and protect their social, economic, political, national, cultural, and other objectives. Croatia is also a signatory to the International Covenant on Civil and Political Rights (1966), which ensures the freedom of association in article 22.

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The main forms of not-for-profit organizations in Croatia are associations, foundations, funds and institutions. In 2001 the Croatian Parliament passed a new Law on Associations replacing the much criticized old Law on Associations from 1997, which was regarded in many areas to be a violation of the right to freedom of association and incompatible with the Croatian Constitution. The new Law on Associations facilitated the establishment procedure for associations considerably and was also an improvement in many other areas.

An association in Croatia is allowed to perform activities aiming to fulfill the association’s purpose according to its governing document, as long as the activities are not performed with the aim to gain profits for the members or for a third party.

Foundations in Croatia are regulated in the Act on Foundations and Funds from 1995. According to this law foundations are to register at the Ministry of Justice, and the registration procedure is many times long and complicated. The law also states that the purpose of a foundation should be beneficial or charitable and that the members of the foundation’s bodies shall perform their duty conscientiously, in compliance with the provisions of the law and other regulations, the statute and other general acts of a foundation.

The reasons for dissolution of an association in Croatia is that the competent body of the association decides to dissolve it, the association has ceased to operate, a final court decision prohibits its activities or it has gone bankrupt. Foundations can be terminated if the foundation looses its property, the purpose of the foundation has ceased to be generally beneficial or charitable, its activities have become impossible for legal or moral reasons or the foundation’s property has ceased to be sufficient for a permanent fulfillment of the foundation’s purpose.

Analysis provided by: Maria Bideke, International lawyer and Director of Law Association Justice International.

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