Companies Law

1. A partner or shareholder in a non-profit company shall be deemed a member in said company. 2. The articles of incorporation or articles of association of a non-profit company may provide for the following: a) Determining categories of membership as well as the terms and conditions thereof. b) Determining the powers of membership categories and the matters requiring the approval of the members’ assembly as well as the required quorum therefor, including the right to monitor the manager or board of directors and to ensure that the company’s profits are used to achieve its objectives in the areas of spending designated in its articles of incorporation or articles of association. c) Granting a certain category of members the right to vote on company decisions in a special assembly. d) Granting a certain category of members the right to appoint one or more company managers or board members. In such case, the appointee may not be removed from his position except by the category of members that appointed him. e) Issuing membership certificates that are not negotiable. As an exception, a provision may be made for a private non-profit company member to assign his membership. f) Imposing the payment of annual fees or cash or in-kind contributions on one or more membership categories. g) Stipulating the provision of work or service to the company in exchange for membership therein. 3. The Ministry may regulate matters relating to membership in non-profit companies.