Tiêu đề Reg2 Cooperative - Chapter I - III.docx ✅

Macaraeg|Page 2 of compensation or limited interest, if any, on capital subscribed and paid as a condition of membership. Members allocate surpluses for any or all of the following purposes: ● developing the cooperative by setting up reserves, part of which should at least be indivisible; ● benefitting members in proportion to their patronage of the cooperative's business; and ● supporting other activities approved by the membership. (4) Autonomy and Independence – Cooperatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations, including the government, or raise capital from external sources, they shall do so on terms that ensure democratic control of their members and maintain their cooperative autonomy. (5) Education, Training and Information – Cooperatives shall provide education and training for their members, elected and appointed representatives, managers, and employees, so that they can contribute effectively and efficiently to the development of their cooperatives. (6) Cooperation Among Cooperatives – Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures. (7) Concern for Community – Cooperatives work for the sustainable development of their communities through policies approved by their members. [Art. 5] Definition of Terms (a) Member includes a person either natural or juridical who adhering to the principles set forth in this Code and in the Articles of Cooperative, has been admitted by the cooperative as member; (b) General Assembly shall mean the full membership of the cooperative duly assembled for the purpose of exercising all the rights and performing all the obligations pertaining to cooperatives, as provided by this Code, its articles of cooperation and bylaws: Provided, That for cooperatives with numerous and dispersed membership, the general assembly may be composed of delegates elected by each sector, chapter or district of the cooperative in accordance with the rules and regulations of the Cooperative Development Authority; (c) Board of Directors shall mean that body entrusted with the management of the affairs of the cooperative under its articles of cooperation and bylaws; (d) Committee shall refer to any body entrusted with specific functions and responsibilities under the bylaws or resolution of the general assembly or the board of directors; (e) Articles of Cooperation means the articles of cooperation registered under this Code and includes a registered amendment thereof; (f) Bylaws means the bylaws registered under this Code and includes any registered amendment thereof; (g) Registration means the operative act granting juridical personality to a proposed cooperative and is evidenced by a certificate of registration; (h) Cooperative Development Authority (CDA) refers to the government agency in charge of the registration and regulation of cooperatives as such hereinafter referred to as the Authority; (i) Universally Accepted Principles means that body of cooperative principles adhered to worldwide by cooperatives; (j) Representative Assembly means the full membership of a body of representatives elected by each of the sectors, chapter or district of the cooperative duly assembled for the purpose of exercising such powers lawfully delegated unto them by the general assembly in accordance with its bylaws; (k) Officers of the Cooperative shall include the: ● members of the board of directors ● members of the different committee created by the general assembly ● general manager or chief executive officer ● secretary ● treasurer

Macaraeg|Page 4 of CHAPTER II: ORGANIZATION AND REGISTRATION [Art. 6] Purposes of Cooperatives A cooperative may be organized and registered for any or all of the following purposes: a) To encourage thrift and savings mobilization among the members; b) To generate funds and extend credit to the members for productive and provident purposes; c) To encourage among members systematic production and marketing; d) To provide goods and services and other requirements to the members; e) To develop expertise and skills among its members; f) To acquire lands and provide housing benefits for the members; g) To insure against losses of the members; h) To promote and advance the economic, social and educational status of the members; i) To establish, own, lease or operate cooperative banks, cooperative wholesale and retail complexes, insurance and agricultural/industrial processing enterprises, and public markets; j) To coordinate and facilitate the activities of cooperatives; k) To advocate for the cause of the cooperative movements; l) To ensure the viability of cooperatives through the utilization of new technologies; m) To encourage and promote self-help or self- employment as an engine for economic growth and poverty alleviation; and n) To undertake any and all other activities for the effective and efficient implementation of the provisions of this Code. [Art. 7] Objectives and Goals of a Cooperative The primary objective of every cooperative is to help improve the quality of life of its members. Towards this end, the cooperative shall aim to: a) Provide goods and services to its members to enable them to attain increased income, savings, investments, productivity, and purchasing power, and promote among themselves equitable distribution of net surplus through maximum utilization of economies of scale, cost- sharing and risk-sharing; b) Provide optimum social and economic benefits to its members; c) Teach them efficient ways of doing things in a cooperative manner; d) Propagate cooperative practices and new ideas in business and management; e) Allow the lower income and less privileged groups to increase their ownership in the wealth of the nation; and f) Cooperate with the government, other cooperatives and people-oriented organizations to further the attainment of any of the foregoing objectives. [Art. 8] Cooperatives Not in Restraint of Trade No cooperative or method or act thereof which complies with this Code shall be deemed a conspiracy or combination in restraint of trade or an illegal monopoly, or an attempt to lessen competition or fix prices arbitrarily in violation of any laws of the Philippines. [Art. 9] Cooperative Powers and Capacities A cooperative registered under this Code shall have the following powers, rights and capacities: a. To the exclusive use of its registered name, to sue and be sued; b. Of succession; c. To amend its articles of cooperation in accordance with the provisions of this Code; d. To adopt bylaws not contrary to law, morals or public policy, and to amend and repeal the same in accordance with this Code; e. To purchase, receive, take or grant, hold, convey, sell, lease, pledge, mortgage, and otherwise deal with such real and personal property as the transaction of the lawful affairs of the cooperative may reasonably and necessarily require, subject to the limitations prescribed by law and the Constitution; f. To enter into division, merger or consolidation, as provided in this Code; g. To form subsidiary cooperatives and join federations or unions, as provided in this Code; h. To avail of loans, be entitled to credit and to accept and receive grants, donations and assistance from foreign and domestic sources, subject to the conditions of said loans, credits, grants, donations or assistance that will not undermine the autonomy of the cooperative.