Section 2: Obligations

Associations governed by the law of 1st July 1901 relating to the contract of association or by articles 21 to 79 of the local civil code applicable in the departments of Bas-Rhin, Haut-Rhin and Moselle may, when they have been carrying out, exclusively or otherwise, an effective economic activity for at least two years, issue bonds under the conditions set out in this sub-section. Bonds issued by associations are entered…

Contracts for the issue of the bonds referred to in article L. 213-8 may stipulate that they are redeemable only at the issuer’s initiative or at a maturity conditional on the accumulation, since the date of issue, of surpluses exceeding the nominal amount of the issue, net of any deficits accumulated during the same period. These bonds constitute last-ranking debt instruments, issued in registered form, and are only redeemable after…

Prior to issuing bonds, the association must: 1. be registered in the Trade and Companies Register in accordance with the terms and conditions laid down by decree; 2. Provide in its articles of association for the conditions under which the persons responsible for managing, representing and committing it in relation to third parties are to be appointed, and for the constitution of a collegiate body responsible for supervising the actions…

For each bond issue, the association must provide subscribers with a notice setting out the terms of the issue and an information document. This document covers, in particular, the organisation, the amount of equity at the end of the previous financial year, the financial situation and the development of the association’s activities. The information that must appear on these documents is set by decree, and the figures are approved by…