The court has just registered two new agricultural cooperatives in the National Court Register. From the very beginning, our law firm managed the procedure for establishing these cooperatives, preparing the articles of association in accordance with the future needs of the members, as well as all other documents necessary for the functioning of the cooperatives. The management boards of the cooperatives have entrusted our law firm with their further legal services.
Although based on legal provisions from the 1980s, agricultural cooperatives are an underappreciated form of conducting not only agricultural activities, but also activities with a much broader scope. The fact that legal persons may be members of a cooperative means that any changes in ownership may take place at the level of the sale of shares or stocks of member companies, without any changes in the cooperative itself. Furthermore, a cooperative is entitled to acquire agricultural real estate without obtaining the consent of the Director General of KOWR, and is not subject to the limit intended to prevent excessive concentration of land (300 ha). Subsidies, in particular area subsidies, are also calculated for cooperatives in a more favourable manner, as the area of land possesed by cooperatives is divided by the number of members.
