Between 1970 and 1972 the Carlist Party organised Congresses of the Carlist People in Arbonne, in which it adopted a program for the ideological change of Carlism towards self-management socialism and the conversion of PC into a federal and democratic party of the masses, of class, which aspired to a socialist based monarchy in a pact between the dynasty and the people.
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The leader, Francesc Xavier, after suffering a serious automobile accident, conceded full powers to his son, Carlos Hugo, Duke of Parma, represented in Spain for José María de Zavala, to run the party and resigned on 20 April 1975.
On 9 May 1976 during the Spanish Transition, far right-wing gunmen supported by the Spanish secret services, killed two people at the Carlist Party celebration.
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The socialist variant of workers' self-management was also adopted by the Spanish Carlist Party in the 1970s founded by Carlos Hugo, Duke of Parma, a rival claimant to the Spanish throne.