LEGAL PERSON (Czech)

The scheme for creation and the scope of the information to be indicated in the notification of a trade or an application for a concession and, if relevant, the scope of the documents to be attached to these submissions, vary depending on the type of the Czech legal person. An essential piece of information is whether the law requires that a legal person, after its establishment, must be registered in a public register in order to be created (i.e. in order to acquire rights and obligations) – as part of the registration proceedings, it is assessed whether other statutory requirements prescribed by law for the creation of the given type of legal person have been met.

For some types of legal persons (e.g. foundations), the law under which they are established prohibits them from carrying out business activities or carrying on business under the Trade Licensing Act. Therefore, licensed trade may only be carried on by legal persons that are not prohibited from doing so by law. Of the legal persons created by registration in a public register, licensed trade may be carried on for example by:

• Business corporations – companies and cooperatives
• Societies and affiliated societies
• Public benefit societies

Legal entities created by a founding legal act, by a decision of a public authority, or by law may carry on business under the Trade Licensing Act only if this is not prohibited by law and if their founder has specified this possibility and, if relevant, the scope of business in the founding document. These include, for example, the following types of legal entities:

• Semi-budgetary organisations
• School legal entities
• Unions
• Local self-government units