Voluntary Association

In UK law, an unincorporated association refers to a group of individuals joined together by mutual consent for a common purpose. This common purpose is often non-commercial, such as sports clubs, charities, social clubs, or political groups. The key characteristics of an unincorporated association in the UK are: 1. **No Separate Legal Personality**: Unlike a corporation, an unincorporated association does not have a legal identity separate from its members. This means it cannot own property, enter into contracts, sue or be sued in its own name. Such actions must be undertaken by individual members on behalf of the association. 2. **Formation and Constitution**: An unincorporated association is typically formed through a mutual agreement of its members, often formalized in a constitution or set of rules. This constitution governs how the association is run, including membership rules, management structure, and how decisions are made. 3. **Liability**: Members of an unincorporated association may be personally liable for its debts and obligations, as the association itself does not bear liability. This is a significant difference from incorporated entities, where liability is generally limited. 4. **No Share Capital**: An unincorporated association does not have share capital and does not pay dividends. Any profits are usually reinvested into the association or used to further its objectives. 5. **Taxation**: An unincorporated association is not a separate taxable entity. Therefore, its income is taxed as the income of the individual members, unless the association qualifies as a charity. 6. **Dissolution**: The process of dissolving an unincorporated association is governed by its constitution. Upon dissolution, any remaining assets are typically distributed according to the rules set out in the constitution, which often involves donating them to a similar organization or to charity. 7. **Limited Regulatory Burden**: Compared to incorporated entities, unincorporated associations typically face fewer regulatory requirements. They do not need to register with Companies House and have fewer reporting and accounting responsibilities. Unincorporated associations are popular for small, non-profit groups due to their simplicity, flexibility, and the relatively low regulatory burden. However, the lack of legal identity and potential personal liability for members are significant considerations that can affect their suitability for certain activities.

# Template

The following is a version of the One Click Orgs Constitution Template for a Unincorporated Association that can be found here - github

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