This article aims to determine the position of the foundation after theanactment of legislation foundation Number 28 of 2004 concerningamandments to the LawNumber 16 of 2001 on the Foundation. By using normative methods can be concluded the foundation is a legal entity that has the sole purpose is social, religious, and humanitarian who founded by observing the formal requirements specified in the legislation foundation. Changes of a Law Act Number 28 of 2004 on the Foundation gives a true understanding of the public about the foundation, to ensure legal certainty and the rule of law and restore the function of the foundation as legal institutions in order to archieve certain goals of social, religious, and humanitarian based on the principle of transparency and accountability. The establishment of foundation begins with the separation of founder assets to be incorporated as the authorized capital foundation. Separation founder assets into foundations can not be given meaning as investment, because the founding foundation philosophy is non-profit. In practic there are deviations in the management of the conflict between the board and the abuse of the institution foundation.