Law 74-FZ "On Peasant (Farm) Farming" was adopted in May 2003. The regulatory act establishes the economic, social and legal foundations of associations of citizens for their agricultural activities. Similar provisions are contained in the Law of the Republic of Kazakhstan "On Peasant (Farm) Farming". 
The concept
A peasant (farm) economy is an association of citizens who are related to each other by kinship or other property. By common ownership they own certain property. These citizens carry out joint activities. This may be the production, processing, storage, transportation and sale of agricultural products. Any such activity is based on their personal participation. The Law of the Russian Federation "On Peasant (Farm) Farming" allows the creation of an association by one person.
Legal status
The considered association of citizens operates without the formation of a legal entity. The Law on the Support of Peasant and Farming Enterprises establishes that the rules of the Civil Code and regulatory acts governing the work of legal entities acting as commercial structures apply to the entrepreneurial activity of such companies, unless otherwise provided by legal documents or the essence of legal relations. The association may be recognized as an agricultural producer. For this, the rules and conditions established by law apply. 
Create a union
Federal Law 74, concerning peasant farms, prescribes the conclusion of an agreement in accordance with which a society is formed. When forming an association by one citizen, the compilation of this document is not required. The right to create a peasant farm is granted to citizens of the Russian Federation, foreigners, and persons without citizenship. The main condition is their legal capacity.
Agreement
The Federal Law "On Peasant (Farm) Farming" defines a number of requirements for this document. In particular, the agreement must contain information:
- About the members of the association.
- About the head of society. As it should be one of the members of the economy.
- On the authority of the chapter and the procedure for managing the association.
- On the duties and rights of members of society.
- About the rules by which the property of the association is formed, the order of ownership, disposal, use of it.
- On the conditions for the adoption of citizens in the farm (peasant) economy and exit from it.
- On the rules for the distribution of income, products, fruits obtained in the course of the association.
The agreement must be accompanied by copies of documents confirming the kinship of persons who have expressed a desire to form a society. The paper is signed by all members of the association. The Law "On Peasant (Farm) Farming" allows the inclusion in the agreement of other items that do not contradict Russian regulations. The association will be considered created from the date of state registration in the manner specified by legal documents.
Obligations, Responsibilities and Rights of Members
The Law "On Peasant (Farm) Farming" establishes that:
- Citizens participating in the association determine its internal routine by mutual agreement. They establish their duties and rights in accordance with economic necessity and qualifications. The members of the association independently determine their responsibility for failure to comply with the rules defined by them.
- Each citizen participating in the association has the right to a part of the profit received in the process of activity, in kind or in cash, as well as in the form of products, fruits. The size and procedure for the payment of income is established by agreement between members of the economy.
Head of Association
The Law "On Peasant (Farm) Farming" determines that the responsible person in the association must be one of its members. If a society was created by one subject, then it is its head. This person must act in the interests of the economy reasonably and in good faith. It does not have the right to infringe on the rights and freedoms of members of society.
Chapter Powers
Responsible person:
- Organizes the work of the economy.
- Acts on behalf of the association without a power of attorney, represents its interests and concludes transactions.
- Carries out reception of workers and dismissal.
- Issues powers of attorney.
- Organizes reporting and accounting.
- Performs other duties established by agreement between the members of the association.
Activities
The Law "On Peasant (Farm) Farming" as the main types of work defines the production and processing of agricultural products, transportation, storage and sale of goods of own manufacture. The members of the association independently determine the lines of activity, the volume of release in accordance with their own interests. 
Transportation
For transportation carried out for their own needs, include delivery:
- Feed, raw materials.
- Processed and manufactured agricultural products.
- Agricultural machinery and spare parts for it.
- Fertilizer.
- Semen.
- Fuels and lubricants.
- Other goods intended to meet the needs of the economy.
Termination of activity
The liquidation of the association is carried out in the following cases:
- Adopting a unanimous decision by members of the community to end its existence.
- The absence of farm members or heirs who would like to continue working on the farm.
- Insolvency association.
- Formations on the basis of the property of a business partnership company or a production cooperative.
- Making an appropriate court decision.
Provision of land
Citizens interested in obtaining plots and agricultural lands related to municipal / state property must submit applications to the executive state and local authorities to form associations and conduct relevant activities. They indicate the following:
- The purpose of land use. This may be the creation, conduct of activities, expansion of the economy.
- The requested right (rental or property).
- The condition for receiving land (for a fee or for free).
- Duration of rental.
- Justification of the area of the site. As it may be, for example, the number of members of the association, the nature of the activity.
- Estimated location of the site.
The statements are enclosed by an agreement concluded between the members of the association.
Actions of authorized bodies
The local government institution or the appropriate land administration institution on his behalf, in accordance with the application or appeal of the state structure and taking into account the zoning of the area, within a month, ensure the preparation and approval of the draft site boundaries. Within a fourteen-day period, a decision must be made on providing the allotment to the applicant free of charge or for a fee in property or in rent. A draft border is attached to the decision. The conclusion of a lease or sale of a site for the formation of a business, conducting business or expanding an association is carried out within a week after the applicant submits a cadastral plan to the executive body of the state (local) government. The decision to refuse to provide the site should be motivated. It may be appealed in court. 
Dimensions
Minimum land areas are not established for farms whose main activity is related to gardening, horticulture, viticulture, floriculture, fishing, beekeeping, poultry farming, seed growing or other work performed with the aim of producing agricultural products using technologies that allow the use of territories whose size is less minimum established by law.
Allocation of territory as a share
A citizen who is a participant in the common ownership of a plot of agricultural land has the right to demand the allocation of an allotment on account of his share, which arose during the privatization of land before the entry into force of Federal Law No. 101, regulating the circulation of such areas, for the formation or expansion of farming (peasant) farming. The conditions and procedure in accordance with which the allocation of the territory is carried out are established by the specified normative act.
