The Associations Registration Act, 2034 (1977) is the primary legislation governing the establishment and registration of associations in Nepal. It applies to organizations formed for social, religious, educational, economic, or philanthropic causes.

Section 4 of the Act provides for the registration of associations, requiring seven or more individuals to apply through the local authority.

In addition, INGOs operating in Nepal must register with and obtain affiliation from the Social Welfare Council under the Social Welfare Act, 2049 (1992). Foreign funding is regulated by the Foreign Exchange (Regulation) Act and directives issued by Nepal Rastra Bank and the Social Welfare Council.

After registration, it is integral to continuously assess and monitor an organization’s operations, administrative activities, and legal compliance to ensure that it meets both regulatory obligations and donor requirements.

Section 9 of the Associations Registration Act requires the Management Committee of an association to submit annual statements of accounts, together with an auditor’s report, to the relevant Ward Office or local authority.

Our legal professionals draft the required documentation and submit the statement of accounts on behalf of our clients, ensuring accuracy, timeliness, and full compliance with regulatory expectations.

Section 10 of the Act empowers the local authority to examine an NGO or INGO’s accounts by appointing an examining officer.

Our lawyers coordinate with local authorities during account examinations, ensuring swift and transparent appraisal of the association’s financial records while protecting the organization’s interests.

When an examining officer demands specific statements or documents, it is essential to submit them within the stated deadline. Failure to comply can result in penalties or loss of good standing.

We handle the preparation and submission of required documentation, and act as official legal advisors for client organizations throughout the process.

Regular due diligence is instrumental in ensuring the ongoing legality and operational integrity of any association. Buddha Bhumi Law and Associates conducts bi annual and annual investigations and assessments of NGOs and INGOs in Nepal.

We review governance practices, financial management, project implementation, and regulatory filings to discover potential legal pitfalls and recommend corrective actions before issues escalate.

Section 13 of the Associations Registration Act provides that, in the event of a final decision by the local authority following an examination, an appeal may be filed in the court of Nepal within 35 days of the final decision.

We prepare and file appeals, represent clients in court cases and litigation, and provide dedicated representation.

Beyond core compliance, Buddha Bhumi Law and Associates provides a comprehensive suite of services to NGOs and INGOs throughout Nepal, including:

• Registration of NGOs before the Social Welfare Council (SWC) – Assistance with the entire registration process, including constitution drafting and documentation.

• Receiving affiliation for INGOs before the SWC – Guidance on the affiliation process, including preparation of MOUs and project proposals.

• Drafting and approval of General Agreement and Project Agreement from SWC – Ensuring all agreements with the government comply with regulatory requirements.

• Filing of regular compliance submissions – Handling submissions to the District Administration Office, Social Welfare Council, and local authorities.

• Advisory on exit strategies and project closure – Planning orderly wind down or closure of projects and organizations.

• Visa and work permit processing for INGO expatriates and country representatives – Managing immigration requirements for international staff.

• Advice on dealings with local partners – Ensuring compliance in agreements with local implementing partners and advising on their regulatory obligations.

• Attendance at official meetings with government entities – Representing clients in meetings with regulatory authorities as needed.

• Drafting, reviewing, and negotiating agreements – Preparing and vetting contracts, MOUs, and partnership agreements.

• HR policy and employment agreement drafting – Developing compliant human resources frameworks and employment contracts tailored to the non profit sector.

• Labor law advisory – Providing guidance on employment issues, including social security compliance and dispute prevention.

• Regulatory monitoring and updates – Keeping clients informed of policy and statutory changes that may affect their operations.

• Dispute resolution and legal advisory – Advising on and managing potential disputes with third parties, including vendors, staff, or government bodies.