DESCRIPTION AND LIABILITY

The concept of the GEIE (European Group of Economic Interest) was 
introduced in the European Economic Community (EEC) in July 1985 and took 
direct effect in member states in 1989.

This concept is derived entirely from the French GIE concept (Groupement d'Intérêt Economique),
which was introduced in France in 1967 and was used for large scale international co-operation. 
The AIRBUS GIE is the most famous example of the efficiency of this concept.

Aim
The aim of the introduction of the GEIE was to facilitate and 
develop co-operation between EEC members.

Key Points
A GEIE may be formed by any natural persons, companies,
firms and other legal bodies called "members" provided they are 
engaged in an economic activity within the EEC.
The activities must always be related to the activities of 
its members. Employees could be directly employed by the 
GEIE or on detachment from its members but limited to a maximum of 500.

Profit
A GEIE is not established to make profit for itself but to develop the economic activities 
for its members and thereby contribute to their profits and competitiveness.

Where expenditure exceeds income, each of the members must contribute and when 
income exceeds expenditure, the excess is distributed to the members.