The Law on the Funds of Charity and Support of the Republic of Lithuania, No. IX-1940, December 22, 2003, in force since January 13, 2004, Official Gazette Valstybes zinios No. 7-128, 2004.
The amendment law on Funds of Charity and Support was also adopted in order to coordinate its provisions with the Civil Code of the Republic of Lithuania.
The law specifies the definition of the charity and support fund by indicating that the fund shall be a non-profit public legal person, which purpose is to provide charity and / or support.
The law requires determining the objectives of the fund in detail by stipulating the spheres and the kinds of the activities in the bylaws of the fund. The law was supplemented with the provisions that enable the funds to provide charity and support themselves.
The law does not specify the rights and obligations of the fund. It only states that the funds shall have the rights (including the right to carry out the allowed commercial activities), which are not limited by Civil Code or other laws of Lithuania and which are indispensably related with the activities and objectives of the fund. However there are some new restrictions in the law as well. For instance, the funds are not allowed to transfer the property of the fund free of charge to the founder of the fund under the agreement on use or trust; to pledge the property of the fund; grant the credits; to purchase the goods or services for obviously unreasonable price; to grant warranties or sureties for the obligations of other persons, etc.
The new law waives the provision that used to oblige the funds to have paid administration.