FEDERAL MINISTRY OF INTERNAL AFFAIRS

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1 This decision became effective on July 2, 1992 FEDERAL MINISTRY OF INTERNAL AFFAIRS Post Office of Prague Illegible stamp Ref.: 2D-670/L-92 Date: June 25, 1992 Bike Trial International Union BTIU in the Czech and Slovak Federative Republic Prague The Federal Ministry of Internal Affairs, as the central body of the state administration competent pursuant to the provisions of section 5 sub-section 1 of the Act No. 71/1967 Coll. on administrative procedure (administration rules), discussed the request of the planned committee of the Bike Trial International Union for permit to establish the above-mentioned international non-governmental organization in the Czech and Slovak Federative Republic based in Prague. Having reviewed all required documents as per the provision of section 32 of the administration rules and further to agreement with the Federal Ministry of Foreign Affairs, the Ministry is hereby rendering the following d e c i s i o n : Pursuant to the provision of section 3 sub-section 1 of the Act No. 116/1985 Coll. on conditions of activities of organizations with international participation in the Czech and Slovak Federative Republic, the Ministry approves the establishment of the Bike Trial International Union in the Czech and Slovak Federative Republic based in Prague. The abovementioned organization is also hereby permitted to perform activities in the territory of the Czech and Slovak Federative Republic, provided such activities will be performed in accordance with the Statutes attached to this Decision. The Bike Trial International Union organization shall notify the Federal Ministry of Internal Affairs of the address in the Czech and Slovak Federative Republic, including the details of who is authorized to act in its behalf. For performing activities, which require a special permit under the law of the Czech and Slovak Federative Republic, the organization shall obtain such permit.

2 - 2 - Instructions: This Decision can be appealed against at the Federal Ministry of Internal Affairs within 15 days of its receipt; a timely filed appeal has a deferring effect. Illegible signature Minister of Internal Affairs of the Czech and Slovak Federative Republic Ing. Ján LANGOŠ Stamp: Federal Ministry of Internal Affairs

3 STATUTE OF BIKE TRIAL INTERNATIONAL UNION (BTIU) Logo: Bike Trial International Union

4 - 2 - Table of Contents: 1 Name and Foundation 1.1 Logo 1.2 Address and Legal Statute 2 Authority 3 Subject of Activities and Objectives 4 Bike Trial Definition 5 BTIU Members 6 Official Languages 7 Financial Resources 8 BTIU Budget and Fiscal Year 9 BTIU Members 9.1 Member Unions Definition BTIU Rights BTIU Responsibilities BTNU Incorporation FMN Incorporation Procedure Fees and Charges Resignation Exclusion Resignation or Exclusion Effectiveness 9.2 Associated Members Definition Rights and Responsibilities Incorporation Incorporation Procedure Fees and Charges Rejection, Loss of Associated Membership, Resignation, Exclusion Resignation or Exclusion Effectiveness 9.3 Honorary Members 10 BTIU Bodies General Assembly Competences Members Voting Right Empowerment Convocation and Quorum Meeting Agenda Presidency and Voting 11 Presidium 11.1 Members 11.2 Meeting 11.3 Authority 11.4 Presidency 11.5 Electing Conditions 11.6 Inconsistency

5 12 Technical Group (CT) 13 Financing and Auditing Committee 13.1 Members and Responsibilities 14 Election 14.1 Procedure to Apply to Nomination for Vacant Positions 14.2 Mandate Validity, Position Take-Up, Loss of Mandate 15 Declaration of Distrust and Mandate Cancellation 16 General Secretary and Secretariat 16.1 General Secretary 16.2 Secretariat 17 Statutes Approval and Amendment 18 Regulatory Instructions 19 BTIU Sports Rules 20 Bike Trial Commendation Ribbon 21 Settlement of Conflict Between Statutes and Other Regulations 22 Dissolution Procedure 23 Property Distribution 24 Effective Date

6 - 4-1 Name and Foundation The Bike Trial International Union (BTIU) founded in 1992 with the intention to manage and organize the bike trial sports all over the world. 1.1 Logo Logo: Bike Trial International Union

7 Address and Legal Statute BTIU is based in Prague (Czech and Slovak Federative Republic ČSFR). As a result, BTIU is to follow the Czechoslovak law. The place for any litigation is Prague. BTIU is an independent legal and economic entity and is independent in the political, economic or administrative view. BTIU is a non-profit and non-political organization. The legal identity is established in the decree of the Federal Ministry of Internal Affairs of the Czech and Slovak Federative Republic, ref /L-92 of June 25, Authority BTIU defined in this Statute is the supreme world sports authority empowered to manage the bike trial activities and represent this activity in front of other legal entities. In this respect, it acts as the supreme world body for settling disputes, which might arise from organization of such activity. It is responsible for launching the entire system of championship competitions in bike trial, including launching and declaring official champion titles in all bike trial categories. As a result, it determines the technical and economic conditions for operation of organizations involved in the BTIU competition system. The same applies to transmissions or audio or video recording related to all events included in the BTIU championship system (competitions), including any related advertisement. 3 Subject of Activity and Objectives The BTIU objective is mainly to: a) Support all aspects and areas of the bike trial sports by assisting all proposals or initiatives contributing the development thereof. Ensure a uniformity of the bike trial efforts all over the world and protect material and moral interests of its members without racial, political or religious discrimination. b) Protect interests of the BTIU members by supporting their cooperation and friendship among them and all organizations involved in bike trial. c) Support and establish procedures for the bike trial sports to the entire extent of the competition system, follow up on adherence to these rules, standards, and mainly application of these Rules all over the world via its members.

8 - 6 - d) Grant permits for organization of international sports events in the area of bike trial. Check and verify if these sports events are in compliance with the Statutes, Sports Rules and other BTIU resolutions. BTIU usually grants these permits only to the Bike Trial National Unions (hereinafter as BTNU). BTIU shall not assume any responsibility, whether civil or criminal, because the event organization and management fully depends on BTNU's, which assume the entire responsibility. 4 "BIKE TRIAL" Definition Bike Trial applies to the sport branch, the essence of which is a competitive activity performed by the physical strength of the biker using the sports article - a special bike, along a marked track, when the biker is evaluated based on the minimum physical contact with terrain when passing the marked section of the track. The technical parameters of track and used articles are specified in the BTIU Sport Rules. 5 BTIU Members BTIU consists of: 1) member bike trial unions (BTNU) 2) associated members 3) honorary members. 6 Official Languages The BTIU official languages include English and the language of the country, where the federation is based (Czech). In case of a dispute concerning interpretation or difference between two official texts, English takes precedence. 7 Financial Resources The main financial resources of BTIU include: a) income from its activity based on decisions rendered by the BTIU General Assembly or Presidium, b) subsidies from official or private sources, c) charges for inclusion in sports calendar, for licenses and other additional items determined by the General Assembly.

9 - 7-8 BTIU Budget and Fiscal Year The BTIU fiscal year is identical with the calendar year. The annual budget approved by the General Assembly upon the BTIU Presidium s proposal shall be used as the fundamental financial scope for the BTIU activities. 9 BTIU Members 9.1 Member National Unions The national member unions of BTIU, hereinafter as BTNU, are the bike trial national unions or any other organization that manages the bike trial activities in its country in the representation manner according to the BTIU Statutes. All countries of the world can be represented in BTIU, but each of them only by a single union or national organization BTNU Rights Every BTNU accepted as the BTIU member is the only organization empowered to execute the BTIU rights defined in these Statutes, sports rules and resolutions in its country. Every BTNU has the right to execute this authority as long as it is the BTIU member or until it is excluded as per Article Every BTNU has the right to participate in the General Assembly meetings and may use its voting right in line with Article BTNU Responsibilities Being accepted as the BTIU member, BTNU accepts the current Statutes, regulations effective at the time of joining BTIU without any reservations in its behalf and in behalf of its members, including any rules and decisions, BTIU may render in the future BTNU Incorporation Every bike trial sport union (organization) that meets the requirements as per Article wishing to become a member of BTIU shall send the request to the BTIU secretariat along with the following documents: a) two copies of its Statutes and Regulations b) list of its former and current activities c) letter from an official body managing sports in its country or other document registration confirming the nation-wide function of the respective organization and providing information about its Presidency members d) list of its Presidency members e) letter confirming the obligation to pay the incorporation fee and the determined annual membership fee; the incorporation fee shall be paid along with the first annual membership fee f) all these documents shall be sent in one of the BTIU official languages.

10 BTNU Incorporation Procedure Every request for incorporation of a new BTIU member shall be first considered by the Presidium, which may a) recommend the General Assembly to reject the request, provided the requesting organization, in its opinion, does not meet the requirements for membership in BTIU b) perform further investigation concerning the documents presented for the BTIU membership c) submit the request for approval to the general Assembly. The FMN incorporation shall become effective upon the incorporation fee and the membership fee for current year having been paid. BTNU may lose the membership only in case of resignation, exclusion or dissolution thereof Fees and Charges Once BTNU is incorporated in BTIU, it shall pay the incorporation fee, the amount of which is determined by the General Assembly upon the Presidium s proposal. All BTNU s pay the annual membership fees to BTIU, the amount of which shall be approved by the General Assembly upon the Presidium s proposal. The fees are due as of January 1 of every year Resignation The BTNU resignation shall not be accepted until it is submitted prior to September 1. After this date, the fee for the next year becomes due Exclusion BTNU may be excluded based on the General Assembly decision upon the Presidium s or other BTNU s proposal in the following cases: a) it does not fulfill its responsibilities of a member or does not represent the bike trial interests in its country in terms of the Statues, b) it does not make efforts to settle its payables to BTIU within the maximum period of 2 years of being notified by a registered letter Resignation or Exclusion Effectiveness Those members, which have been excluded or have filed their resignation, immediately lose all of their rights arising from their membership. However, the lost of membership does not relieve them from their obligations associated with the membership for the balance of the calendar year. They shall not make any claims to the BTIU property.

11 Associated Members Definition The associated BTIU members are associated organizations or international companies acting in favor of the bike trial development Rights and Responsibilities All associated members have the right to be represented in every General Assembly meeting. Their representatives do not have the voting right, but they are authorized to participate in all General Assembly meetings and take the floor in these meetings. The associated members have the right to receive the BTIU publications and may receive any information related to the subject activities of BTIU from the Secretariat Upon incorporation in BTIU, the associated member agrees to: a) accept and without any reservation follow the current Statutes and Regulations effective at the time of incorporation in BTIU in its behalf and in behalf of its members, including any rules and decisions BTIU may render in the future b) preserve authority of each FMN in the respective country Incorporation Any body, company or association that wishes to be incorporated as the associated member shall send the request for incorporation in appropriate form to the BTIU Secretariat along with the following documents: a) 2 copies of its Statutes and Regulations b) list of its current and past activities c) list of its control body members d) list of members. Should the requesting association be a club or association of clubs, it must guarantee that all of its member clubs in various countries are recognized by BTNU s in the respective countries before their candidacy may be accepted Incorporation Procedure Every request for incorporating a new associated member of BTIU shall be first assessed by the Presidium that shall submit it to the General Assembly for approval after investigation with the member organizations if the submitted documents or organization characteristics do not meet the BTIU requirements for the associated membership. The incorporation as an associated member shall become effective upon the incorporation fee and the membership fee for the current year having been paid.

12 Fees and Charges Upon being incorporated, the associated member shall pay the incorporation fee, the amount of which is determined by the General Assembly upon the Presidium s proposal. All associated members pay the annual membership fees to BTIU, the amounts of which shall be approved by the General Assembly upon the Presidium s request. See Article for the payment of incorporation fee and fees of the associated members Rejection, Loss of Associated Membership, Resignation, Exclusion The regulations applicable to the member organizations also apply to the associated members as for rejecting the request for membership, resignation or exclusion. The General Assembly may terminate membership of the associated member in course of the meeting Resignation or Exclusion Effectiveness The loss of membership does not relieve from the obligations arising from the associated membership for the balance of the calendar year. In such cases, it is not possible to make claim to partial or full compensation of the fees. 9.3 Honorary Members 10 BTIU Bodies Upon the Presidium s proposal, the General Assembly may award the Honorary Member title to individuals or organizations outside BTIU for significant services provided to BTIU or bike trial sports Structure of BTIU Bodies a) General Assembly b) Presidium c) Technical Group d) Financing and Auditing Committee

13 General Assembly The General Assembly is the supreme authority of BTIU. The decisions made by the General Assembly are final and may be adjusted or cancelled only by the General Assembly itself. The regular General Assembly meeting is held once a year. The Presidium may convoke the extraordinary General Assembly meeting, if necessary. It shall do so if requested by a minimum of one third of BTNU s (with justification) Competences The General Assembly is mainly competent to: a) determine the BTIU general policy in all areas of its activities upon the Presidium s proposal b) determine the membership fees, charges for inclusion of events in the calendar and charges for various licenses upon the Presidium s proposal c) approve the BTIU annual budget submitted by the Presidium d) approve the financial balance sheet for previous year preliminarily accepted by the Presidium e) approve the BTIU annual report submitted by the Presidium f) approve the BTIU Statutes and adjustments thereof, regulatory provisions and sports rules of BTIU g) elect President, Vice President, Presidium members, technical group chairman and members and the Financing and Auditing Committee members h) review proposals submitted by BTNU and approve them, if applicable, after having been reviewed by the Presidium; all proposals shall be submitted to the General Assembly in writing before any decision can be rendered i) make decisions about any and all proposals in accordance with procedures defined in the Statutes and regulatory provisions j) review mandate revocation and declaration of distrust, and approve them, if necessary k) establish or dissolve all BTIU bodies Members The General Assembly consists of all members stated in Article 5. The General Assembly participants are as follows: a) persons, who have been duly elected by the General Assembly as members of Presidium, technical committee and Financing and Auditing Committee

14 b) other persons (temporary delegates) designated by BTNU to participate in the General Assembly meetings, with maximum of 3 persons per BTNU, including the new candidates, c) maximum 2 representatives of every associated member d) honorary members of BTIU Voting Right The incorporation in BTIU gives every BTNU the right of one vote in the General Assembly meeting excluding the new candidates. BTNU, more than nine sportsmen of which participate in the BTIU world championship in the given year, gets the right of another vote in voting in the General Assembly meeting in the given year. Every BTNU represented in the General Assembly has the right to one or two votes, which may be expressed only by one of its delegates with the nationality or residential permit of the country that the respective BTNU represents Empowerment Should BTNU not be able to send a delegate to the General Assembly meeting, it may only be represented by other BTNU with a voting right. Before the general Assembly meeting starts, the represented BTNU shall inform BTIU about, which BTNU it has selected for representation prior to the General Assembly commencement. Any BTNU shall not represent more than one BTNU. One delegate may vote only in behalf of one BTNU Convocation and Quorum The General Assembly meeting shall be convoked by the Secretariat at least 90 days in advance. The minimum term of 30 days shall be respected for the General Assembly convocation. Once the General Assembly is convoked in line with the Statute, it may render valid decisions, provided one third of BTNU's is present the higher number of BTNU's with the voting right is to be considered Meeting Agenda The General Assembly meeting agenda shall always include: a) verified attendance of General Assembly b) approval of the last General Assembly meeting minutes c) approval of proposed budget for next year d) approval of balance sheet and accounts from previous year e) elections to vacant positions in BTIU bodies f) proposals of BTNU'S.

15 The proposals BTNU wishes to include in the General Assembly meeting agenda shall be sent to the Secretariat in writing along with the appropriate documentation no later than 60 days before the first day of the General Assembly meeting. Any and all proposals of the BTIU Presidium, Technical Committee and Financing and Auditing Committee shall be included in the meeting agenda. The meeting agenda and any respective documentation shall be sent to all BTIU General Assembly members no later than 30 days before the first meeting day. The items which will not be shown within the agenda or which did not arrive in a set deadline cannot be negotiated unless 2/3 of voting delegates agree with it. No amendment of Statute can be submitted to be negotiated by General Assembly if not quoted within the agenda Presidency and Voting 11 Presidium The General Assembly is controlled according to the following priority by the BTIU Presidium or Vice President. When voting, the simple majority of the valid votes shall be achieved to make a decision valid, with the exception of the Statutes revision, which requires two thirds of all votes cast by the voting delegates to make the decision valid. When voting to fill all positions in BTIU, the following majority and procedure is required: - simple majority of votes cast. Should the vacant positions not be filled in the first round, the candidates, who has not received the required majority of valid votes, shall participate in the second round under the same conditions. The third round is not to be held. The valid ballot shall not contain more names than the number positions to be filled is, or names other than names of the official candidates Members The Presidium consists of: a) regular members with the voting right - BTIU President - BTIU Vice President - Organization Director - Technical Committee President - Member bikers' delegate

16 b) extraordinary members without the voting right - Financing and Auditing Committee Chairman - General Secretary Meeting The Presidium meets whenever necessary, however, three times a year, as a minimum Authority The Presidium has all the authority that is not exclusively reserved to the General Assembly or other BTIU bodies as per the Statutes or regulatory provisions concerning the BTIU administration and control with respect to its future objectives. This authority is further stated in the regulatory provisions. Through the mediation of its President or a Presidium member appointed in particular for these purposes, the Presidium represents BTIU in all litigations, whether on the defendant side or plaintiff side Presidency The Presidium meetings are chaired by the President or Vice President Electing Conditions The conditions required for election to the Presidium are as follows: BTIU President or Vice President - he must be the elected BTIU member and must have been working in bike trial for 3 years, at least, he must be able to speak one of the BTIU official languages. The candidacy for re-election of the BTIU President is automatic. Every FNM may propose one candidate meeting the determined conditions for the first election. Other members - they must be the elected BTIU members and must have been working in bike trial for 2 years, at least, they must be able to speak one of the BTIU official languages.

17 Inconsistency The following restrictions shall be applied: - the Presidium shall not have more than one member of one BTNU - the Presidium members shall not represent BTNU in the General Assembly - the Presidium members shall not be the owners or members of racing teams taking part in the sports events. 12 Technical Group (CT) The Technical Group is responsible for managing the bike trial competition system. The Group authorities, members and meeting rules are defined in the regulatory provisions. 13 Financing and Auditing Committee 13.1 Members and Responsibilities The Financing and Auditing Committee has the maximum of 3 members, including the Chairman. The Committee members are elected by the General Assembly. The President and General Secretary are members without the voting right. The responsibilities of the Financing and Auditing Committee are as follows: a) evaluate the proposed budget prepared by the Secretariat and check if the budget has been processed in line with the budgeting standards. b) audit accounts and balance every year c) discuss all issues related to BTNU financing upon the President s or General Assembly s request. For fulfillment of the above-mentioned responsibilities, the Financing and Auditing Committee is empowered to review any and all documents and contracts concerning financial aspects of BTIU, if necessary, and submit the report on new conclusions to the General Assembly through the mediation of the Presidium. It does not have any executive power. 14 Election The candidates shall be proposed by their home unions. The candidate proposed for the first mandate shall be present in the General Assembly meeting. The candidate elected shall not have more than one concurrent function within BTIU.

18 Procedure to Apply to Nomination for Vacant Positions The Secretariat shall notify all FNM's of the vacant positions sixty days prior to the General Assembly meeting. Every BTNU may nominate only one candidate for each vacant position. These nominations shall be submitted in a letter (fax) using the specified form within the specified period of time to be distributed along with the list of vacant positions by the Secretariat. The list of candidates shall be finalized 30 days before the General Assembly meeting commencement. The list of nominated candidates shall be distributed to all BTNU s right after the finalization. The member nominated as the candidate for other position that he currently occupies and whose mandate has not expired yet shall send his resignation in writing to the Secretariat along with his nomination within the determined period of time, i.e. 30 days before the General Assembly meeting commencement. His resignation shall become effective on the day of the election to the General Assembly Mandate Validity, Position Take-Up, Loss of Mandate All mandates remain valid for a maximum of 3 years. The resigning members can be re-elected. The members elected commence their positions immediately after their election. Every member elected, who has not attended two consecutive meetings of the body, to which he was elected to, except for reasons acknowledged by the President, will be irrevocably recalled. His position shall be filled during the next meeting of the General Assembly. The BTIU member unions (BTNU s) have the right to withdraw the mandate of their delegate in the General Assembly meeting. Every mandate withdrawal shall be made in form of a registered letter sent to the BTIU President, who shall declare the mandate of the respective member cancelled effective immediately. 15 Declaration of Distrust and Mandate Cancellation Every member of the BTIU body, who does not perform his function efficiently, may become the subject of declaration of distrust. Accordingly, every member acting in behalf of BTIU contradictory to the BTIU Statutes and Rules may be taken away his mandate. He can also be disciplined as per the Disciplinary and Arbitration Rules. Any honorary member of BTIU body which will be proved to counteract to the interests of BTIU may be also subject to manifestation of vote of no confidence.

19 General Secretary and Secretariat 16.1 General Secretary 16.2 Secretariat The General Secretary is appointed by the Presidium. He shall not perform any function or position in any BTNU, industry or business related to the bike trial sports. The Secretariat responsibilities are determined by the Presidium. 17 Statutes Approval and Amendment The Statutes shall only be approved and amended upon the decision of the General Assembly rendered by the two-third majority of votes cast by the voting delegates and ratified by simple majority of votes at the next General Assembly meeting. The amendments come into force as of January 1 of next year. 18 Regulatory Instructions The regulatory instructions define responsibilities of members of the BTIU bodies and rules required for the BTIU administration. The regulatory instructions shall be approved by the General Assembly, coming into force as of January 1 of next year. 19 BTIU Sports Rules The General Assembly approves the following upon the Presidium s proposal: a) BTIU Sports Rules governing the sports activities b) Disciplinary and Arbitration Rules defining the disciplinary bodies, procedure to follow, as well as penalties, which may be imposed in the disciplinary matters.

20 20 Bike Trial Commendation Ribbon The General Assembly may award the individuals or legal entities with Certificate of Competence for extraordinary credits on bike trial development upon the Presidium s proposal. Such Certificate shall be handed over in the General Assembly meeting. 21 Settlement of Conflict Between Statutes and Other Regulations In case of any conflict between the BTIU Regulations or these Statutes and other BTIU Regulations, the Statutes text shall take precedence. 22 Dissolution Procedure The BTIU Dissolution shall be decided on by the General Assembly, the meeting of which shall be attended by two thirds of BTNU s, at least. The decision shall be approved by threefourth majority of all present votes. Should such meeting not be able to achieve the quorum, an extraordinary meeting shall be convoked after 30 days, in which the decision to dissolve BTIU shall be approved by three fourths of present votes. 23 Property Distribution In case of the BTIU dissolution, the property registered as of the dissolution date shall be distributed in line with the General Assembly decision. 24 Effective Date These Statutes becomes effective on: July 2, 1998 Certification I certify that this copy comprising handwritten 20 sheet (s) corresponds verbatim with the document it was made of, which comprises handwritten 20 sheet (s). In Brno on 07/03/2006 JUDr. ANDREA TŮMOVÁ notarial draughtsman authorised by JUDr. Přemysl Kalous, public notary in Brno Signature illegible Round stamp of JUDr. Přemysl Kalous, public notary in Brno *3*

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