An Azerbaijani non-commercial or not-for-profit organization is an entity created to engage in various public, social and economic activities, not related to the generation of profit and the distribution of such profit to its equity holders. Since an Azerbaijani noncommercial organization is treated as a legal entity, it may own property, enter into contracts, acquire ownership and intellectual property rights, incur obligations in its own name, maintain an independent balance sheet, maintain settlement and other bank accounts and act as a claimant and defendant in courts and arbitration. Azerbaijani non-commercial organizations are presumed to engage in non-commercial activities. Under the Civil Code, non-commercial organizations may be created in any of the following forms: public association, foundation and union of legal entities. Other forms permitted include federations, schools, universities and clubs.