The story of Kazakhstani corporate legislation begins in 1991.

The Civil Code as the basis for development of modern corporate legislation in Kazakhstan:

• 27 December 1994: The Civil Code (General Part) adopted;

• 2 May 1995: The Law of the Republic of Kazakhstan On Economic Partnerships (general partnerships, limited partnerships, partnerships with limited Liability and partnerships with additional liability (LLP/ALP) and JSC);

• 5 October 1995: The Law of the Republic of Kazakhstan On Industrial Cooperatives;

Separate regulation of the status of JSC and LLP / ALP:

• 28 April1998: The Law of the Republic of Kazakhstan On Partnerships with Limited and Additional Liability (provisions regarding LLPs and Alps were excluded from the Law of 2 May 1995; nevertheless the Law remains in effect with respect to LLPs / ALPs since it regulates general principles applicable to all forms of economic including LLPs / ALPs);

• 10 July 1998: The Law of the Republic of Kazakhstan Joint-Stock Companies and The Law of the Republic of Kazakhstan concerning amendments to a number of legislative acts on matters related to the legal status of JSCs (JSC has been recognized as a separate organizational form and no longer remains a type of economic partnership; the start for development of a independent [joint-stock] company law);

The legislation of the Republic of Kazakhstan on National chamber

1. The legislation of the Republic of Kazakhstan on National chamber shall be based on the Constitution of the Republic of Kazakhstan and shall consist of the Civil code of the Republic of Kazakhstan, this Law and other regulatory legal acts of the Republic of Kazakhstan.

On 28 March 2011 the Ministry of Justice of the Republic of Kazakhstan has adopted the Concept paper concerning development of corporate legislation of Kazakhstan (the «Corporate Law Development Paper») where, at the same time, clear statements were made that there is no legal definition of the notion of a «corporation» existing in Kazakhstani legislation,

RK Civil Code defines the basic concept of a legal entity and establishes various classifications of legal entities depending on such different criteria as: (a) commercial or non-commercial type of organization and (b) who founds a legal entity and what is the legal nature of the relations between the legal entity and its founder(s).

 

Right of property

Property law is the area of law that governs the various forms of ownership and tenancy in real property (land as distinct from personal or movable possessions) and in personal property, within the common law legal system. In the civil law system, there is a division between movable and immovable property. Movable property roughly corresponds to personal property, while immovable property corresponds to real estate or real property, and the associated rights, and obligations thereon.

Property right

The right to possess The right to use The right to dispose

Right of business authority

• It is a material right of a state enterprise, which has received the property from the state and which exercises the right to possess, to use and to dispose towards that property, as it is provided for by the legislation of the Republic of Kazakhstan. (art.196 CC)

 

Liability of legal entity

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Founder (participant) of legal entity or owner of its property shall not be liable for obligations of legal entity, and legal entity shall not be liable for obligations of its founder except for cases provided for by laws or foundation documents of legal entity.

• If bankruptcy of legal entity was caused by actions of its founder, then in case of insufficiency of funds of legal entity, the founder shall bear subsidiary liability before the creditors.

• Legal entity shall be liable before the third parties for obligations of legal entity's body which exceeded its powers set forth in foundation documents except for cases provided for by Item 11 of Article 159 of the RK Civil Code.

of legal entity or

Legal entity shall mean an organization which:

v Has on the basis of ownership right, right of business authority or right of operational management its separate assets;

v Is liable for its obligations by its assets;

v May in its name acquire and exercise proprietary and personal non-proprietary rights and obligations;

v Can be the plaintiff and the defendant in the court;

v Has independent balance-sheet or budget;

Has stamp with its name thereon.