Introduction
The law regulating foundations in Malta is contained in Act XIII of 20071.In reality, foundations are not new to the Maltese legal sphere: they have been employed by various sectors of society in a multitude of contexts but this use had, prior to the enactment of Act XII of 2007, been done in a somewhat disorganized fashion being dependent on judicial pronouncements.
There are various types of Foundations including governmental or private ones, those intended for a social purpose or otherwise and those that are non-profit making and those that are intended for profit.In essence, the Act makes various amendments to the Civil Code and particularly creates a schedule to the Code that specifically deals with the various issues appertaining to organizations.
The Government of Malta also enacted a separate Act of Parliament — the Voluntary Organizations Act, 2007 (VOA)2 — that specifically regulates voluntary organizations and their administration. The VOA will work in conjunction with the Civil Code for those cases where the particular organization qualifies as a ‘voluntary organization’ (or non-profit making) as defined in the Law.