FOREIGN LEGAL PERSON

A legal person that does not have its registered office in the Czech Republic may carry on a trade in the Czech Republic under the same conditions and to the same extent as a Czech legal person, unless the Trade Licensing Act or a specific act provides otherwise. A foreign legal person carries out business activities in the Czech Republic through a branch plant (or branch plants) which it establishes in the Czech Republic. The conditions for obtaining and carrying on a trade authorisation are laid down differently for legal persons with their registered office in a European Union Member State and for legal persons with their registered office in third countries, i.e. in countries that are not considered to be European Union Member States for the purposes of the Trade Licensing Act.

For the purposes of the Trade Licensing Act, a legal person with its registered office in a European Union Member State is considered to be:

• A legal person whose internal relations are governed by the laws of a Member State of the European Union and which has its registered office, central administration or principal place of business in a Member State of the European Union
• A legal person whose internal relations are governed by the laws of another country that is a party to the Agreement on the European Economic Area and which has its registered office, central administration or principal place of business in another country that is a party to the Agreement on the European Economic Area
• Subject to the conditions and within the scope set out in an international treaty on the free movement of persons, a legal person whose internal relations are governed by the laws of the Swiss Confederation and which has its registered office, central administration or principal place of business in the Swiss Confederation