chhatramani/nepal_legal_acts_corpus_english huggingface dataset:
Copyright Act, 2002

8. Moral Rights: (1) Irrespective of whether the author has economic rights in a work, the author shall have the following moral rights:-

(a) To have his/her name mentioned on copies of his/her work or when his/her work is used publicly,
(b) If a pseudonym is used without mentioning the true name in his/her work, to have that pseudonym mentioned when the work is used publicly,
(c) To prevent acts such as distortion or mutilation of his/her work that would harm his/her honor or reputation,
(d) To make necessary modifications or alterations to his/her work.

(2) The rights mentioned in subsection (1) shall not be transferable during the lifetime of the author. Provided, however, that if the author wishes to transfer such rights to someone with effect after his/her death, such rights shall pass to the person or entity so wished, and if no such wish is made, they shall pass to the nearest heir. 9. Rights of Performers: (1) A performer shall have the right to do the following acts:-

(a) To make his/her performance available to the public by broadcasting or communicating it,
(b) To determine the manner or medium of presenting his/her performance and to reproduce it,
(c) To make his/her performance available to the public for the first time by selling or transferring the fixation or copies thereof or by changing ownership,
(d) To rent out copies of his/her performance,
(e) To make the performance produced by a prescribed manner or medium available to the public via wired or wireless equipment,
(f) To adapt or modify his/her performance.

(2) Once a performer has given consent for the incorporation of his/her performance in an audiovisual medium, he/she shall not exercise the rights mentioned in subsection (1) in respect of that performance again.

(3) Notwithstanding anything contained in subsection (2), the performer shall have the right to claim identification as the performer of his/her live audio performance and the performance fixed in a sound recording, and the right to prevent any act of distortion, mutilation or other derogatory treatment of his/her performance that would be prejudicial to his/her reputation or fame.

(4) Nothing contained in this section shall be deemed to affect the right of a performer to enter into or agree to a contract containing conditions that provide for greater benefit or advantage from his/her performance.

(5) The rights conferred upon a performer pursuant to this section shall subsist for fifty years from the year in which the fixation was made in a sound device, and if not so fixed, for fifty years from the year in which the performance took place. 10.
Copyright Act, 2002

10. Rights of Producers of Sound Recordings: (1) The producer of a sound recording shall have the following rights:-

(a) To reproduce the sound recording directly or indirectly in any manner or form,
(b) To import copies of the sound recording,
(c) To make the sound recording available to the public by sale or other transfer of ownership of the original or copies thereof,
(d) To rent or lend the sound recording to the public,
(e) To make the sound recording audible from a specific place or from a place of his/her choice or by the public, through wired or wireless equipment.

(2) The rights under subsection (1) shall subsist for fifty years from the year of publication of such sound recording. 11. Right to Equitable Remuneration for Use of Sound Recording: (1) If a sound recording published for commercial purposes, or a reproduced copy of such sound recording, is used directly for broadcasting or other communication and presented publicly to the public, the producer shall be entitled to receive an equitable remuneration from the user.

(2) If there is an agreement between the performer and the producer regarding the receipt of remuneration under subsection (1), it shall be as per the agreement; in the absence of an agreement, the performer shall receive half of the amount received by the producer.

(3) The right to receive equitable remuneration under subsection (1) shall subsist for fifty years from the year of publication of such sound recording or from the year of fixation of the sound recording. 12. Rights of Broadcasting Organizations: (1) A broadcasting organization shall have the right to do the following acts:-

(a) To rebroadcast the subject matter it has broadcast,
(b) To communicate its broadcast to the public in a manner accessible to the public,
(c) To fix its broadcast,
(d) To reproduce the fixation of its broadcast.

(2) The rights under subsection (1) shall subsist for fifty years from the year in which such broadcast was first made. Amended by the Act to Amend Some Nepal Acts Relating to Export, Import and Intellectual Property, 2063.13.
Copyright Act, 2002

Amended by the Act to Amend Some Nepal Acts Relating to Export, Import and Intellectual Property, 2063.13. Protection of Works, Performers, Producers of Sound Recordings or Broadcasting Organizations: (1) The works of the following authors shall be protected under this Act:-

(a) Works created by an author residing in the Kingdom of Nepal or a member country of the World Trade Organization and published in the Kingdom of Nepal or in the same country,
(b) Audiovisual works produced by a producer residing in the Kingdom of Nepal or a member country of the World Trade Organization,
(c) Architectural designs of buildings constructed within the Kingdom of Nepal or a member country of the World Trade Organization, or other forms of artistic works used in buildings or any other structures,
(d) Works published in the Kingdom of Nepal by an author residing in a country other than the Kingdom of Nepal or a member country of the World Trade Organization, or audiovisual works produced in the Kingdom of Nepal by a producer of such country.

(2) The following performers shall be entitled to performers' rights under this Act:-

(a) A performer who is a national of the Kingdom of Nepal or a member country of the World Trade Organization,
(b) A performer who has given a performance in the Kingdom of Nepal or a member country of the World Trade Organization, or whose performance is used in a sound recording protected under this Act, or whose performance is included in a broadcast even if not fixed in a sound recording.

(3) The following producers of sound recordings shall be entitled to producers' rights relating to sound recordings under this Act:-

(a) Sound recordings produced by a person of the Kingdom of Nepal or a member country of the World Trade Organization,
(b) Sound recordings published in the Kingdom of Nepal or a member country of the World Trade Organization.

(4) The following broadcasting organizations shall be entitled to broadcasting organizations' rights under this Act:-

(a) Broadcasts transmitted by a broadcasting organization having its office in the Kingdom of Nepal or a member country of the World Trade Organization,
(b) Broadcasts transmitted from a broadcasting center located in the Kingdom of Nepal or a member country of the World Trade Organization. Chapter-3

Duration of Copyright Protection

14.
Copyright Act, 2002

Chapter-3

Duration of Copyright Protection

14. Duration of Copyright Protection: (1) The economic and moral rights conferred upon an author under this Act shall be protected for the lifetime of the author and, after his/her death, for fifty years from the year of his/her death.

(2) In the case of economic and moral rights in a joint work, they shall be protected for fifty years from the year of death of the author who dies last among the authors.

(3) The economic and moral rights in a work prepared pursuant to clauses (b) and (c) of subsection (2) of section 6 shall be protected for fifty years from the earlier of the date of first publication of such work or the date it was first made available to the public.

(4) The economic and moral rights in a work published anonymously or under a pseudonym shall be protected for fifty years from the earlier of the date of first publication of such work or the date it was first made available to the public. Provided, however,

that if the name of the author is published within the aforementioned time, protection as mentioned in subsection (1) or (5) shall be granted depending on the circumstances.

(5) The economic and moral rights in a work of applied art and a photographic work shall be protected for twenty-five years from the year in which such work was created. 15. Duration of Protection for Works Published After the Death of the Author: Notwithstanding anything contained in section 14, in the case of a work published after the death of the author (if there is a single author) or after the death of any one of them (if there are two or more authors), such work shall be protected for fifty years from the year of its publication. Chapter-4

Permitted Uses of Copyrighted Material Without Authorization

16. Reproduction for Personal Use: (1) Notwithstanding anything contained in clause (a) of section 7, the authorization of the author or copyright owner shall not be required for reproducing a part of any published work for personal purposes.

(2) Notwithstanding anything contained in subsection (1), reproduction shall not be permitted in a manner that adversely affects the economic rights of the author or copyright owner in the following cases: reproduction of architectural designs created as buildings and other construction-related designs, reproduction of a substantial part of a book, reproduction of musical works in the form of notation, or reproduction of the whole or a significant part of a database through digital transmission. 17.
Copyright Act, 2002

17. Quotations: Notwithstanding anything contained in clause (a) of section 7, a part of a published work may be quoted for fair dealing without the authorization of the author or copyright owner, provided that it does not adversely affect the economic rights of the author or copyright owner. When quoting, the source and, if mentioned, the name of the author of such work shall also be indicated. 18. Reproduction for Teaching and Learning: (1) Notwithstanding anything contained in clause (a) of section 7, the following acts may be done for teaching and learning without the authorization of the author or copyright owner, provided they do not adversely affect the economic rights of the author or copyright owner:-

(a) Reproducing a short part of a published work through quotations, writings or audiovisual aids,
(b) Reproducing, broadcasting and displaying a part of a work for the purpose of educational activities to be presented in the classroom.

(2) In all copies reproduced under subsection (1), the source and the name of the author shall be mentioned. 19. Reproduction by Libraries and Archives: Notwithstanding anything contained in clause (a) of section 7, a public library or archive that provides works in its possession to persons conducting research or study, without deriving direct or indirect economic benefit, may reproduce one copy of any work in its possession without the authorization of the author or copyright owner, if the work is lost, destroyed, worn out, or cannot be obtained. 20. Reproduction, Broadcast and Other Communication for the Purpose of Informing the Public: (1) Notwithstanding anything contained in clauses (a), (j) and (k) of section 7, the following acts may be done without the authorization of the author or copyright owner, provided the source and the name of the author are mentioned:-

(a) To print in any newspaper or periodical, or to broadcast or otherwise communicate to the public, articles printed in any newspaper or periodical, articles on political or religious topics, or broadcasts of a similar nature,

Provided, however,

that this shall not be done in a manner that adversely affects the economic rights of the author or copyright owner.

(b) To reproduce, broadcast or otherwise communicate for the purpose of informing the public about current events, or to substantiate an event,
(c) To reproduce, broadcast or otherwise communicate to the public, for the purpose of providing news, a part of any newspaper or regularly published periodical containing speeches delivered to the public or arguments made in connection with court proceedings.

(2) Notwithstanding anything contained in subsection (1), if the author has explicitly stated that such reproduction, broadcast or other communication shall not be made, then such reproduction, broadcast or other communication shall not be permitted.
Copyright Act, 2002

21. Reproduction of Computer Programs: Notwithstanding anything contained in clauses (a) and (c) of section 7, one copy of a computer program may be reproduced without the authorization of the author or copyright owner for the purpose of achieving the objective for which the program was obtained, if that objective cannot be achieved, or for archival purposes, or if the legally obtained computer program is lost, destroyed or becomes unusable. 22. Import for Personal Use: Notwithstanding anything contained in clause (g) of section 7, one copy of a work may be imported for personal use without the authorization of the author or copyright owner. 23. Public Display: Notwithstanding anything contained in clause (h) of section 7, a person may publicly display a work or a copy of a work without the authorization of the author or copyright owner. Provided, however, that such display shall be made without the aid of a film, slide, television or screen or other types of devices. Chapter-5

Transfer of Copyright

24. Transfer of Copyright: (1) The copyright owner may transfer all or some of the economic rights obtained by him/her to others by written agreement, or may permit the use thereof with or without conditions.

(2) A person entitled to moral rights may, by written agreement, transfer to someone the moral rights obtained by him/her for the protection of such rights after his/her death, subject to the condition that his/her name is not removed from the work.

(3) A person who obtains rights by transfer from the copyright owner under this section shall not perform any act other than the rights so transferred. Chapter-6

Infringement of Protected Rights and Penalties

25.
Copyright Act, 2002

Chapter-6

Infringement of Protected Rights and Penalties

25. Acts Constituting Infringement of Protected Rights: (1) If a person does any of the following acts, it shall be deemed an infringement of rights protected under this Act:-

(a) Producing and selling, distributing, publicly communicating or renting out copies of a work or sound recording to which he/she has no right, for commercial or any other purpose, with or without economic benefit, without obtaining the authorization of the author or copyright owner, or even if authorization is obtained, violating the conditions mentioned in the agreement or license,
(b) Imitating another's work for the purpose of taking advantage of the reputation earned by that work and conducting advertisements or publicity,
(c) Creating a work of a different subject or nature by changing the form or linguistic medium of another's work, with the intention of gaining economic benefit,
(d) Attempting to gain benefit by directly or indirectly creating or preparing something with the intention of making viewers, listeners or readers believe, through advertisements or any other means, that it is a different work,
(e) Importing, producing or renting out devices or means designed to circumvent measures taken to discourage unauthorized reproduction,
(f) Producing or importing devices for the purpose of selling devices that help in unauthorized viewing of programs broadcast in encrypted form in a secret code,
(g) Importing, selling, distributing or using mechanical devices specifically designed for the purpose of copyright infringement, other than those mentioned in clauses (e) and (f).

(2) No person shall, knowing or having sufficient reason to believe that a work or sound recording has been published in contravention of subsection (1), sell, distribute or rent out copies of such work or sound recording. 26. Prohibition on Import of Unauthorized Copies: No copies of any work or sound recording which would be an unauthorized publication if made within Nepal Deleted by the Act to Strengthen the Republic and Amend Some Nepal Laws, 2066. shall be made abroad or obtained by any other means and imported into Nepal Deleted by the Act to Strengthen the Republic and Amend Some Nepal Laws, 2066. for commercial purposes. 27. Penalties for Infringement of Protected Rights: (1) If any person contravenes section 25, such person shall be liable to a fine of ten thousand rupees to one hundred thousand rupees or imprisonment for up to six months or both, depending on the gravity of the offense, and for a second and subsequent offences, a fine of twenty thousand rupees to two hundred thousand rupees or imprisonment for up to one year or both, depending on the gravity of the offense.
Copyright Act, 2002

The copies so published, reproduced or distributed, and the materials used for reproduction, shall be confiscated.

(2) Compensation for loss caused to the person entitled to copyright by the person infringing the protected rights shall also be awarded. 28. Penalty for Import of Unauthorized Copies: If any person contravenes section 26 and imports unauthorized copies of any work, such copies shall be confiscated and the person shall be liable to a fine of ten thousand rupees to one hundred thousand rupees, depending on the gravity of the offense, and the person making such import shall also compensate the person entitled to copyright for the loss caused by such import. 29. Other Penalties: If any person contravenes any other provision of this Act or the rules made under this Act, such person shall be liable to a fine of five thousand rupees to fifty thousand rupees, depending on the gravity of the offense. Chapter-7

Miscellaneous

30. Registrar and His/Her Functions, Duties and Powers: (1) To perform the functions of Registrar under this Act, the Government of Nepal shall, by publishing a notice in the Nepal Gazette, appoint an officer of at least the rank of a gazetted second class officer to act as Registrar.

(2) Except as otherwise provided elsewhere in this Act, the functions, duties and powers of the Registrar shall be as follows:-

(a) To supervise and control the Royalty Collection Society,
(b) To hear complaints, as prescribed, if any party is dissatisfied with the royalty determined by the Royalty Collection Society,
(c) To perform or cause to perform other functions as prescribed for the fulfillment of the objectives of this Act. 31. Appeal Against Orders and Decisions of the Registrar: A party dissatisfied with any order or decision given by the Registrar may appeal to the Amended by the Act to Amend Some Nepal Acts, 2072.District Court of the area where the Registrar's Office is located within thirty-five days. 32.
Copyright Act, 2002

31. Appeal Against Orders and Decisions of the Registrar: A party dissatisfied with any order or decision given by the Registrar may appeal to the Amended by the Act to Amend Some Nepal Acts, 2072.District Court of the area where the Registrar's Office is located within thirty-five days. 32. Seizure of Copies of Works, Sound Recordings or Other Materials: (1) If there is a suspicion that any person has published or reproduced, or is about to publish or reproduce, any work or sound recording in contravention of section 25, upon filing a complaint with the police officer investigating the offense under this Act, such police officer shall make necessary arrangements to prevent the sale or distribution of such copies of the work or sound recording and may, if necessary, search and seize such copies of the work or sound recording in accordance with the prevailing law.

(2) While searching and seizing under subsection (1), the materials including the machine used for the publication or reproduction of such copies of the work or sound recording may also be seized. 33. Destruction of Copies of Works, Sound Recordings or Other Materials: If copies of works and sound recordings seized under section 32 are ordered to be confiscated upon the final decision of the case by the court, they shall be destroyed in the presence of a representative of the District Administration Office and the Amended by the Act to Amend Some Nepal Acts, 2072.local level, after preparing a panchnama. 34. Powers of Customs Officer Regarding Prevention of Import of Unauthorized Copies: (1) If there is a suspicion that any person is about to import unauthorized copies into Nepal Deleted by the Act to Strengthen the Republic and Amend Some Nepal Laws, 2066. in contravention of section 26, a complaint may be filed with the customs officer along with evidence to prevent the import of such materials.

(2) Upon receipt of a complaint under subsection (1), the customs officer shall make necessary inquiries, and if the complaint appears reasonable, he/she may detain the materials being imported for a maximum of twenty working days, divided into periods of ten working days each.

(3) Notwithstanding anything contained in subsections (1) and (2), if the customs officer learns or suspects that unauthorized copies are being imported into Nepal Deleted by the Act to Strengthen the Republic and Amend Some Nepal Laws, 2066., he/she may detain such materials for a maximum of twenty working days, divided into periods of ten working days each.

(4) Other procedures relating to the prevention of import of unauthorized copies shall be as prescribed. 35.
Copyright Act, 2002

35. Proceedings and Disposal of Cases: (1) The jurisdiction to conduct proceedings and dispose of cases punishable under this Act shall vest in the relevant District Court.

(2) While conducting proceedings and disposing of cases under this Act, the procedure under the Summary Procedure Act, 2028 shall be followed. 36. Power to Order Injunction: While conducting proceedings and disposing of complaints under this Act, the District Court may, upon the application of the concerned party, if it deems reasonable to immediately stop any act contrary to this Act, order the relevant person or body to cease such act. 37. Government of Nepal to be Plaintiff: (1) In cases punishable under sections 27 and 28, the Government of Nepal shall be the plaintiff, and such cases Transformed by the Act to Amend, Consolidate, Harmonize and Repeal Some Nepal Laws, 2074 and amended by the Act to Amend Some Nepal Acts Relating to the Civil Code, 2075. shall be deemed to fall under Schedule-1 of the National Criminal Procedure Code, 2074.

(2) Investigation and inquiry of cases under this Act shall be conducted by a police officer of at least the rank of Inspector. 38. Limitation: In case of infringement of any right under this Act, a complaint shall be filed within three months from the date of knowledge of such infringement. 39. Provisions Relating to Royalty Collection Society: (1) For the purpose of determining, collecting and distributing royalties relating to works subject to copyright, generally one Royalty Collection Society per genre shall be formed as prescribed.

(2) The Royalty Collection Society formed under subsection (1) shall be registered with the Registrar as prescribed.

(3) The Royalty Collection Society shall be a self-governing and organized body with perpetual succession.

(4) The Royalty Collection Society shall have its own seal for all its acts.

(5) The Royalty Collection Society may, like a natural person, acquire, possess, sell or otherwise dispose of movable and immovable property, and may sue and be sued in its own name.

(6) The Government of Nepal may prescribe conditions to be complied with by the Royalty Collection Society, and it shall be the duty of the Royalty Collection Society to comply with such conditions. 40. Copyright of the Government of Nepal and Provincial Government: (1) The copyright in a work created by the Government of Nepal shall vest in the Government of Nepal, and the copyright in a work created by a Provincial Government shall vest in the Provincial Government.

(2) The Government of Nepal or the Provincial Government may lease, sell or otherwise permit the use of the rights obtained under subsection (1) to any person or entity. 41.
Cooperatives Act, 2017

Cooperative Act, 2074

Certification and Publication Date
2074.7.1

Amending Acts

1. Act to Amend Some Nepal Acts, 2075 2075.11.19
2. Act to Amend Some Acts relating to Prevention of Money Laundering and Promotion of Business Environment, 2080 2080.12.30
3. Act to Amend Some Nepal Acts relating to Cooperative, 2081 2081.12.18

Act No. 41 of the year 2074

Preamble: Whereas, it is desirable to amend and consolidate the prevailing laws relating to cooperatives and bring them in conformity with the times, in order to integrate the capital, technology and talent scattered among the farmers, artisans, workers, low-income groups and marginalized communities or general consumers of the country, based on self-reliance and mutuality, in accordance with cooperative values, norms and principles, to uplift the economic, social and cultural status of the members, to promote and regulate cooperative societies as community-based, member-centric, democratic, autonomous and self-governing organizations, and to develop a self-reliant, sustainable and socialist-oriented national economy through cooperative farming, industry, goods and services businesses;

The Legislature-Parliament, pursuant to Sub-article (1) of Article 296 of the Constitution of Nepal, has enacted this Act. Chapter 1
Preliminary

1. Short Title and Commencement: (1) This Act shall be called the "Cooperative Act, 2074".
(2) This Act shall commence immediately. 2. Definitions: Unless the subject or context otherwise requires, in this Act:-
(a) "Internal Procedure" means the internal procedure prepared by a cooperative society pursuant to Section 28.
(b) "Offense" means the offense pursuant to Section 122.
(c) "Prescribed" or "as prescribed" means prescribed or as prescribed in the rules made under this Act.
(d) "Family" means the spouse, son, daughter-in-law, daughter, adopted son, adopted daughter, father, mother, stepmother, and brother, sister-in-law, younger brother, younger brother's wife and elder sister, younger sister whom a member is obliged to support. Provided that such term shall not denote a family member who has separated through partition or has separated kitchens and is engaged in their own profession or business.
(e) "Primary Capital Fund" means the share capital and reserve fund.
Cooperatives Act, 2017

Chapter 2
Formation and Registration of Cooperative Society

3. Formation of Association: (1) At least thirty Nepali citizens may collectively form a subject-wise or multi-purpose cooperative association.
(2) Notwithstanding anything written in Sub-section (1), in the case of a cooperative association formed by workers, youth, etc., to carry out business based on their labor or skills, even fifteen Nepali citizens may form the association.
(3) Notwithstanding anything written in Sub-section (1), when forming an association conducting savings and credit transactions within a metropolitan city or sub-metropolitan city area, the participation of at least one hundred Nepali citizens shall be required.
(4) When forming an association pursuant to this Section, the number mentioned in Sub-section (1), (2) or (3) must be met at the rate of one member per family. Provided that, after the association is registered pursuant to Section 15, more than one person from the same family shall not be barred from obtaining membership of that association.
(5) Notwithstanding anything written elsewhere in this Section, at least one hundred employees, teachers or professors serving in remunerated positions in schools, universities or organized institutions operated under grant or ownership of the Government of Nepal, Provincial Government, Local Level or such governments or levels, may collectively form an association based on their professional organization registered in accordance with prevailing law, adhering to prescribed conditions regarding membership, representation and service operation. Provided that in a single office with a number less than one hundred, at least thirty employees, teachers or professors may collectively form an association adhering to prescribed conditions regarding membership, representation and service operation. 4. Formation of District Subject-wise Cooperative Union: At least eleven associations registered and operating pursuant to Section 15 may collectively form a District Subject-wise Cooperative Union of their subject for the purpose of development, promotion, marketing, etc., of cooperative business. Provided that in districts designated as Class 'Ka' remote areas by the Government of Nepal, at least six associations may collectively form a District Subject-wise Cooperative Union. 5. Formation of District Cooperative Union: At least fifteen associations or District Subject-wise Cooperative Unions registered pursuant to Section 15 may collectively form a District Cooperative Union to support the development, promotion, marketing, etc., of cooperative business. Provided that:
 (1) In districts designated as Class 'Ka' remote areas by the Government of Nepal, at least seven associations may collectively form a District Cooperative Union.
 (2) When forming such a Union, more than fifty percent of the subject-wise cooperative unions registered across the district must be included. 6.
Cooperatives Act, 2017

Provided that:
 (1) In districts designated as Class 'Ka' remote areas by the Government of Nepal, at least seven associations may collectively form a District Cooperative Union.
 (2) When forming such a Union, more than fifty percent of the subject-wise cooperative unions registered across the district must be included. 6. Formation of Provincial Subject-wise Cooperative Union: At least twenty-five subject-wise cooperative associations from at least five districts or subject-wise district cooperative unions registered pursuant to Section 15 may collectively form a Provincial Subject-wise Cooperative Union of their subject to support the development, promotion, marketing, etc., of cooperative business. Provided that when forming such a Union, more than fifty percent of the district subject-wise cooperative unions registered across the province must be included. 7. Formation of Provincial Cooperative Union: At least thirty-one associations from at least five districts or district cooperative subject-wise unions or district cooperative unions or provincial subject-wise cooperative unions registered pursuant to Section 15 may collectively form a Provincial Cooperative Union to support the development, promotion, marketing, etc., of cooperative business. Provided that when forming such a Union, more than fifty percent of each of the district subject-wise cooperative unions, district cooperative unions and provincial subject-wise cooperative unions registered across the province must be included. 8. Formation of Central Subject-wise Cooperative Union: At least fifty-one subject-wise associations from at least seven districts or subject-wise district cooperative unions or subject-wise provincial cooperative unions registered pursuant to Section 15 may collectively form a Central Subject-wise Cooperative Union of their subject to support the development, promotion, marketing, etc., of cooperative business. Provided that when forming such a Union, more than fifty percent of each of the subject-wise district cooperative unions or subject-wise provincial cooperative unions must be included. 9. Formation of Specialized Cooperative Union: (1) At least twenty-five multi-purpose or subject-wise associations registered pursuant to Section 15 may collectively form a Specialized Cooperative Union to carry out production works requiring large investments such as hydropower projects, chemical fertilizer factories, housing projects, transportation, heavy agricultural equipment, fruit processing, herb processing, sugar industries, cold storage, hospitals, educational institutions, technical training institutes, laboratories, or to fulfill common needs of members regarding goods or services. This shall be a fully commercial entity. It shall not have the right to elect or be elected to any union or federation.
(2) The operating procedure for this shall be as prescribed. 10.
Cooperatives Act, 2017

This shall be a fully commercial entity. It shall not have the right to elect or be elected to any union or federation.
(2) The operating procedure for this shall be as prescribed. 10. Formation of National Cooperative Federation: (1) For promoting good governance in the cooperative sector based on cooperative values, norms and principles, the following associations or unions may collectively form a National Cooperative Federation:-
 (a) More than fifty percent of the District Subject-wise Cooperative Unions formed pursuant to Section 4,
 (b) More than fifty percent of the District Cooperative Unions formed pursuant to Section 5,
 (c) More than fifty percent of the Provincial Subject-wise Cooperative Unions formed pursuant to Section 6,
 (d) More than fifty percent of the Provincial Cooperative Unions formed pursuant to Section 7,
 (e) More than fifty percent of the Central Subject-wise Cooperative Unions formed pursuant to Section 8.
(2) Notwithstanding anything written in Sub-section (1), a National Cooperative Union registered at the time of commencement of this Act shall be deemed to have been converted into a National Cooperative Federation under this Act. 11. No Formation of More than One Union: Notwithstanding anything written in Sections 4, 5, 6, 7, 8 and 10, more than one District Subject-wise Cooperative Union or District Cooperative Union of the same nature in one district, more than one Provincial Subject-wise Cooperative Union or Provincial Cooperative Union of the same nature in one province, more than one Central Subject-wise Cooperative Union of the same nature at the central level, and more than one National Cooperative Federation at the national level shall not be formed. 12. Formation of Cooperative Banks: (1) Associations or unions may collectively form Cooperative Banks with the prior approval of Nepal Rastra Bank, aiming to accept savings from or provide loans or banking services to such associations or unions.
(2) Notwithstanding anything written in Sub-section (1), a National Cooperative Bank operating at the time of commencement of this Act shall be deemed to have been formed under this Act.
(3) Other provisions regarding the formation of Cooperative Banks shall be as prescribed. 13. Prohibition on Operating Cooperative Society without Registration: No person shall operate a cooperative society without registering it under this Act. 14.
Cooperatives Act, 2017

13. Prohibition on Operating Cooperative Society without Registration: No person shall operate a cooperative society without registering it under this Act. 14. Application for Registration: (1) Government entities formed under this Act shall submit an application for registration to the officer authorized by the Registrar, in the case of an association under Section 3, a District Subject-wise Union under Section 4, or a District Cooperative Union under Section 5; and to the Registrar, in the case of a Provincial Subject-wise Cooperative Union under Section 6, a Provincial Cooperative Union under Section 7, a Central Subject-wise Cooperative Union under Section 8, a Specialized Union under Section 9, a National Cooperative Federation under Section 10, or a Cooperative Bank under Section 12, in the format as prescribed.
(2) The application pursuant to Sub-section (1) shall be accompanied by the following documents:-
 (a) Proposed bye-laws of the cooperative society,
 (b) Feasibility study report for operating the cooperative society,
 (c) Details of the number of shares and share amount agreed to be taken by members,
 (d) Other details as prescribed.
(3) When submitting an application for registration of a Cooperative Bank pursuant to Sub-section (1), in addition to the documents mentioned in Sub-section (2), a letter of prior approval obtained from Nepal Rastra Bank shall also be attached. 15.
Cooperatives Act, 2017

15. Requirement for Registration: (1) Upon examining the application and accompanying documents received pursuant to Sub-section (1) of Section 14, if found as follows, the Registrar or the officer authorized by the Registrar shall register such cooperative society and issue a registration certificate in the format as prescribed within thirty days from the date of application:-
 (a) The bye-laws submitted with the application are in accordance with this Act and the rules made under this Act,
 (b) There is a basis for the proposed cooperative society to operate in accordance with cooperative values, norms and principles,
 (c) There is a clear basis for the cooperative society to be operated and controlled in a community-based and member-centric manner,
 (d) Other bases as prescribed have been fulfilled.
(2) If upon examination pursuant to Sub-section (1), it appears that the proposed cooperative society's bye-laws cannot be registered without amendment, the Registrar or the officer authorized by the Registrar shall, within fifteen days from the date of receipt of the application, notify the applicant specifying the amendments required in the bye-laws.
(3) Notwithstanding anything written elsewhere in this Act, cooperative societies registered and operating at the time of commencement of this Act shall be deemed to be registered under this Act.
(4) When registering a cooperative society pursuant to this Section, the officer under Sub-section (1) of Section 14 may prescribe any conditions to be observed by such cooperative society.
(5) If conditions are prescribed pursuant to Sub-section (4), it shall be the duty of the concerned cooperative society to comply with them.
(6) Notwithstanding anything written elsewhere in this Section, in the case of metropolitan cities and sub-metropolitan cities, savings and credit cooperative societies shall be registered in one ward or within a municipality or rural municipality according to prescribed standards.
(7) In the case of a Specialized Union under Section 9, registration shall only be possible in a manner that does not duplicate the services provided by the subject-wise district cooperative union or central subject-wise cooperative union. Added by the Act to Amend Some Nepal Acts relating to Cooperative, 2081.(8) Notwithstanding anything written elsewhere in this Section, after the commencement of this Sub-section, the registration of cooperative societies whose main transaction is savings and credit shall only be at the local level according to the standards determined by the Authority. 16.
Cooperatives Act, 2017

16. Power to Refuse Registration: (1) If the conditions mentioned in Sub-section (1) of Section 15 are not met, if the applicant refuses to make amendments within the period notified for amendment of the bye-laws pursuant to the same Section, if the bye-laws are not amended within thirty days from the date of receiving such notice, or if the bye-laws are not amended as mentioned in the notice, the Registrar or the officer authorized by the Registrar may refuse to register such cooperative society.
(2) If registration of a cooperative society is refused pursuant to Sub-section (1), the Registrar or the officer authorized by the Registrar shall, within three days, inform the concerned applicant in writing of the reasons for such refusal. 17. Cooperative Society to be a Body Corporate: (1) A cooperative society shall be a self-governing and corporate body with perpetual succession.
(2) A cooperative society shall have a separate seal for its operations.
(3) Subject to this Act, a cooperative society may acquire, use, sell or otherwise dispose of movable and immovable property like a person.
(4) A cooperative society may sue and be sued in its own name like a person.
(5) A cooperative society may enter into contracts like a person. 18.
Cooperatives Act, 2017

18. Area of Operation of Cooperative Society: (1) At the time of registration, the area of operation of a cooperative society shall be as follows:-
 (a) In the case of an association whose main transaction is savings and credit, within a metropolitan city or sub-metropolitan city, one ward,
 (b) In the case of an association whose main transaction is savings and credit within a municipality or rural municipality and other associations, up to one local level as prescribed based on the following criteria:-
 (1) Mutual common bond for the practice of self-reliance among members,
 (2) Number of members required to operate services at a commercial level,
 (3) Convenient location ensuring participatory democratic control of members in the operation of the association.
(2) Notwithstanding anything written in Sub-section (1), an association may, two years after being registered and commencing commercial services, expand its area of operation while maintaining a connected geographical area based on the following criteria:-
 (a) Need for additional operational area to increase membership in the course of developing the association's commercial activities,
 (b) Adoption of constructive measures to maintain direct member control over the association's operations,
 (c) Not being contrary to the standards determined pursuant to Sub-section (6) of Section 15.
(3) Notwithstanding anything written in Sub-section (2), the area of operation may be expanded based on the nature of member residence, convenient location, local situation, and special commercial needs as prescribed.
(4) Notwithstanding anything written elsewhere in this Section, for associations requiring a wider area of operation from the outset due to commercial sectors such as hydropower projects, education, linguistic, literary, cultural, health services, communication, production, storage or processing of specific agricultural or forest
 products, and expanding member participation, the area of operation may, at the time of registration, be established as one local level, or one district, or more than one district, or more than one province based on what is prescribed.
(5) For associations operating at the time of commencement of this Act, their area of operation shall be deemed to be established according to this Act.
Cooperatives Act, 2017

19. Area of Operation of Union and Cooperative Bank: The area of operation of unions and cooperative banks shall be as follows:-
 (a) In the case of a District Subject-wise Cooperative Union or District Cooperative Union, one district,
 (b) In the case of a Provincial Subject-wise Cooperative Union or Provincial Cooperative Union, one province,
 (c) In the case of a Central Subject-wise Cooperative Union or National Cooperative Federation, throughout Nepal,
 (d) In the case of a Specialized Union, according to the area of collection, distribution or provision of goods or services depending on the nature of such union,
 (e) In the case of Cooperative Banks, as Amended by the Act to Amend Some Nepal Acts, 2075.prescribed by Nepal Rastra Bank. 20. Classification on Subject-wise Basis: Associations or unions may be classified on a subject-wise basis as prescribed. 20A. Classification of Cooperative Societies with Savings and Credit as Main Transaction: (1) The Authority shall classify cooperative societies whose main transaction is savings and credit into three tiers: national, provincial and local, based on criteria prescribed by the Authority.
(2) Notwithstanding anything written in Sub-section (1), for the purpose of classifying cooperative societies whose main transaction is savings and credit, they shall be registered with the Authority or the body designated by the Authority within one year from the date of commencement of this Section. Added by the Act to Amend Some Nepal Acts relating to Cooperative, 2081. 21. Power to Operate Transactions, Business, Industry or Project: (1) After obtaining a registration certificate pursuant to Section 15, an association or union may, subject to this Act and its bye-laws, operate necessary transactions, businesses, industries or projects to achieve its objectives under Section 24.
(2) A Cooperative Bank may operate its transactions or services only after obtaining a license from Nepal Rastra Bank.
(3) Notwithstanding anything written in prevailing law, an association or union shall not be required to register a separate entity to operate transactions, businesses, industries or projects pursuant to Sub-section (1).
Cooperatives Act, 2017

Provided that if a license, approval or permit is required under prevailing law to operate such transactions, businesses, industries or projects, such transactions, businesses, industries or projects shall be operated only after obtaining the required license, approval or permit accordingly.
(4) If an association or union obtains a license, approval or permit from a body or officer authorized under prevailing law pursuant to Sub-section (3), it shall inform the Registrar or the officer authorized by the Registrar of such fact within fifteen days.
(5) Two or more associations or unions may, subject to this Act, jointly or in partnership operate necessary transactions, businesses, industries or projects for the marketing of their products or services.
(6) Other provisions relating to operating transactions, businesses, industries or projects pursuant to Sub-section (5) shall be as prescribed.
(7) Notwithstanding anything written in prevailing law, an association or union may sell and distribute products of the transactions, businesses, industries or projects operated pursuant to Sub-section (1) under a cooperative brand. Provided that if approval for obtaining such a brand is required from the concerned body under prevailing law, such approval shall be obtained accordingly.
(8) The procedure and basis for issuing certificates of origin for goods produced by an association or union shall be as prescribed. 22. Liability Limited: (1) In relation to the transactions of a cooperative society, the liability of a member shall be limited to the maximum amount of shares purchased or agreed to be purchased by him/her.
(2) The term "Cooperative" and the word "Limited" shall be included in the name of a cooperative society. 23. Observance of Cooperative Values, Norms and Principles: Cooperative values, norms and principles shall be observed in the formation and operation of a cooperative society. 23A. Observance of Standards: (1) Notwithstanding anything written elsewhere in this Act, the body regulating, inspecting and supervising cooperative societies whose main transaction is savings and credit shall observe the directives and standards issued by Nepal Rastra Bank in that regard. Added by the Act to Amend Some Acts relating to Prevention of Money Laundering and Promotion of Business Environment, 2080.
(2) If a cooperative society under Sub-section (1) existing at the time of commencement of this Section has not maintained the standards determined by Nepal Rastra Bank, it shall maintain such standards within two years from the date of commencement of this Section. Chapter 3
Objectives and Functions of Association or Union

24. Objective of Association or Union: The main objective of an association or union shall be to achieve the economic, social and cultural prosperity of its members, being area-based and member-centric. 25.