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SPORTS HIGH COUNCIL

Ana Criado Contreras

Legal Regime Deputy Subdirector

Sports High Council

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ASSOCIATION RIGHT

• Article 22 Constitution• Act 1/2002, of 22 Mars on Association

Right- Scope of the Law: non-profit associations- Excluded: - associations submitted to an

specific regime - political parties, trade

unions, ... Churches, sport federations

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ASSOCIATION RIGHT

BASIC RULES:• Everyone has the right to become a member of an

association or to create it without previous authorization: either individuals or legal entities (both private & public)

• Organization must be democratic• Registration: sole effect of publicity- Associations Registry (Ministry of Interior)- Autonomous Communities’ Registries

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SPORT ASSOCIATIONS

Act 10/1990 of 15 October, on Sport:

1. Sport clubs (elementary, basic & Sporting Private Companies)

2. National Clubs Groups

3. Sport Promotion Entities

4. Professional Leagues

5. Sport Federations

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SPORT CLUBS

• Private associations composed of individuals or legal entities whose aim is the promotion of one or more sport disciplines and participating in competitions and sport activities

• Clasification: - Elementary (individuals, transferred to Autonomous Communities)

- Basic (at least 5 founders, transferred to Autonomous Communities)

- Sport Private Companies

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SPORT CLUBS

• Registration in the appropriate Registry

• Registration in the Sport Federations in order to participate in official competitions

• So as to participate in inter/national competitions its Statutes shall be adapted to Act on Sport

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NATIONAL SCOPE CLUBS GROUPS

• Aim: developping sport disciplines not covered by federations

• Only one by each discipline (previous step to become federation)

• Coordination with Autonomous Communities federations that have recognized this sport discipline

• Revision of recognition each 3 years

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NATIONAL SPORT PROMOTION ENTITIES

• Clubs associations whose sole aim is to promote & organize physical and sporting activities with recreational, educational & social objective

• Requirements:- Organization in at least six AACC, with a

minimum of 100 asociations registered in those AACC and 20.000 members

- Non profit associations, democratic,…- Revised each 4 years by CSD- Participation in their activities or competitions is

incompatible with participation in those organized by sport federation in same discipline

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SPORT PRIVATE COMPANIES

• Clubs that participate in national professional official sport competitions have to become “Sport Private Companies” (SADs)• General rules for Private Companies + specific regulation• Registered both in CSD Sport Associations Registry & Commercial Registry

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SPORT PRIVATE COMPANIES

• Rules to estimate minimum capital are stated by Decree but it cannot be lower than that established for Private Companies

• Minimun capital have to be totally disbursed

• Founders cannot reserve for themselves any advantage (equal treatement for all shareholders)

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SPORT PRIVATE COMPANIES

•Acquisition of significant shares will be communicate to CSD (equal or multiple to 5%)• Authorization of CSD to acquire participation equal or upper to 25%• Sanctions for:- Very serious offence: not ask for authorization to CSD, not send audit report on annual balance, refusal or obstruction to examination of Share Book by CSD, …-Serious offence: not communicate to CSD…

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SPORT PRIVATE COMPANIES

• SADs & Clubs that take part in national professional competition cannot participate in/directly in capital of other SADs that take part in same competition (or if different, same sport discipline)• Individuals or legal entities that have a participation equal or upper to 5% cannot have in/directly a similar participation in other SADs that takes part in a professional competition (or if different, same sport discipline)

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SPORT PRIVATE COMPANIES

• CSD can examine Shares Registry Book

• SAD send to CSD & League an audit report on annual balance before to register it in Commercial Registry

• CSD can demand a complementary audit carried out by auditors appointed by CSD

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PROFESSIONAL LEAGUES

• Association of clubs & SADs• Mandatory if there is a national professional

oficial competition (set up by CSD)• Legal personality, autonomy from federations• Own Regulations (according to Law)• Only 1 professional league per discipline & sex1. Professional Football National League (1st and

2nd A “División”)2. Basket Clubs Association League

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PROFESSIONAL LEAGUES

COMPETENCES

a) Organize competitions in coordination with federation & with respect to inter/national commitments set up by CSD (Agreements)

b) Monitor, control & supervision of their members

c) Disciplinary Action on their members

d) Reports foreseen by Law

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SPORT FEDERATIONS

• Private entities, legal personality,

• Integrated by: AACC federations, sport clubs, sportmen/women, technicians, referees, professional leagues (if exist) & other groups that promote the sport

• Own Regulations (according to Law)

• Democratic Elections each 4 years

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SPORT FEDERATIONS

• Representation of Spain at international events• Only 1 federation by each sport discipline except those

for handicapped people (physical, psychic, blind, brain paralytic & deaf federation)

• Registered in CSD’s Sport Associations Registry, provisional during 2 first years

• Revocation if reasons for its recognition disappear• CSD authorization to register in international federation• 2 kinds of functions: 1. Private (gobernance,

management…) 2. Public (entrusted affairs)

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SPORT FEDERATIONS

PUBLIC FUNCTIONSa) Qualify & organize official sport national eventsb) …c) Ellaborate high level sport training plansd) Training of sport technicians & prevention &

control of doping substancese) Organize/monitor international official

competitions held in Spain (CSD authorization)…..

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SPORT FEDERATIONS

• Represent Spain at international competitions: federations choose sportmen/women who are part of national teams• Sportmen/women with federations’ license are obliged to attend the call to take part in national team in order to participate in an international competition (very serious offence)

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SPORT FEDERATIONS

RESOURCES: Subventions from public entities, Donations, inheritances, legacies or prizes, Profits, Loans & credits, Other ...

EXTINCTION: Causes foreseen in their Statutes, Revocation of their recognition, Judicial resolution, Not ratification by CSD 2 years after their registration, …

CSD will decide the use of the net worth (to similar activities)

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SPORT FEDERATIONS

CRITERIA TO AUTHORIZE OR TURN DOWN THEIR SETTING UP

• Existence of widespread international federation recognized by IOC

• Inter/national sport interest in discipline• Existence of international competitions with a

significant number of participants• Number of sportmen/women in Spain & spread• Previous recognition of sport discipline by CSD• Financial feasibility• Requirement of specific documents

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SPORT FEDERATIONS

FEDERATIONS GOOD GOVERNANCE CODE• Issued by CSD on 2004• Recommendations on good governance practices

regarding management & control of financial activities

• Transparency • Important standard to set up the grant that

federation will receive form CSD• Duties of members of Boards, monitor bodies,

salaries, relations with third parties, observance of Council of Europe’s Code of Ethics …

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CONTROL ON FEDERATIONS & LEAGUES BY CSD

So as to guarantee performance of their functions:• Inspect official books & documents• Call mixed bodies of governance & control to

debate & resolution of specific questions if they have not been called by who is responsible

• Provisional suspension of President & directive bodies if disciplinary action is taken due to very serious offences

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SPANISH OLIMPIC COMMITTEE

• Non profitable association, legal personality• Aim: development of olympic movement & ideals• Own Rules according to legislation & IOC’s rules• Organizes inscription & participation of

sportmen/women in Olympic Games• Olympic Sport Federations are part of COE• Represents Spain before IOC• Paralympic Committee: same functions regarding

handicapped sportmen/women

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THANK YOU FOR YOUR ATTENTION