German Esports Associations: An Overview

Definition of an Association

An association is a union of several persons for a specific purpose, which does not aim to generate profit. It is characterized by its self-organization, the pursuit of a common purpose, and the voluntary membership of its members.

What is an Association in Germany?

In Germany, an association (Verein) is a voluntary union of several persons to pursue a common purpose. The purpose can be of any nature, provided it is not primarily aimed at generating economic profits.

How is an Association Founded?

To establish an association in Germany, at least seven members are required. The founding members must draft a statute, which serves as the constitution of the association. This statute should include details such as the association’s name, purpose, and headquarters. Once the statute is drafted, a founding meeting is held, during which the board is elected.

What are the Legal Forms of Associations?

There are two primary legal forms of associations in Germany:

• Registered Association (e.V.): This is the most common form and offers several advantages, including legal capacity. The association must be entered into the association register to achieve this status.
• Non-registered Association: This form does not have legal capacity and is not entered into the association register.

What are the Advantages of Registering an Association?

Registering an association provides it with legal capacity, allowing it to enter into contracts, acquire rights, and incur liabilities. Moreover, registered associations can apply for public funding and are eligible for tax benefits.

Legal Basis for Associations in Germany

The legal basis for associations in Germany is primarily found in the BGB. Here are some pertinent sections:

• § 21 BGB: If the association is to last indefinitely, a resolution to dissolve it requires a majority of three-quarters of the votes cast unless the articles of association provide otherwise.
• § 26 BGB: The association must have a board of directors that represents it judicially and extrajudicially. The general assembly appoints the board of directors. Unless the articles of association determine otherwise, it consists of the chairman and his deputy. Both are entitled to represent the association alone. The articles of association can determine that the board of directors consists of only one person or that further board of directors members are to be appointed.
• § 27 BGB: The board of directors is elected by the general assembly for a period of four years. Re-election is permissible. The board of directors remains in office until a new board of directors is elected. If a member of the board of directors resigns during his term of office, the general assembly elects a replacement member for the remaining term of office of the resigned member.
• § 28 BGB: The board of directors is responsible for all affairs of the association insofar as they are not assigned to another organ of the association by law or the articles of association. It executes the resolutions of the general assembly. In matters of particular importance, it can obtain the general assembly’s decision. It should draw up guidelines for its work, which require the approval of the general assembly.
• § 31 BGB: The association is liable for its obligations with all its assets. The personal liability of the members is excluded.
• § 32 BGB: The resolutions of the association are to be recorded in minutes and signed by the chairman of the meeting.
• § 33 BGB: The articles of association can only be amended by a general assembly resolution. Unless the Articles of Association determine otherwise, a resolution to amend the Articles of Association requires a majority of three-quarters of the votes cast.
• § 54 BGB: Associations that do not aim to make a profit and whose purpose is not a commercial business are not entered in the commercial register.

What Obligations do Associations Have?

Associations in Germany have specific obligations, including the maintenance of a list of members, proper accounting, and the holding of regular general meetings. Additionally, they must adhere to the principles outlined in their statutes.

Dissolution of an Association

The dissolution of an association can be voluntary or forced. A voluntary dissolution requires a three-quarters majority of the members. In the case of forced dissolution, reasons can include insolvency or the achievement or impossibility of the association’s purpose.

Conclusion

Setting up an esports association in Germany requires a thorough understanding of the legal framework provided by the BGB. By adhering to these regulations, esports stakeholders can ensure that their associations are legally compliant and well-structured to represent the interests of their members.

Image source: Christo, CC BY-SA 4.0, via Wikimedia Commons