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Establishment of Foreign Representatives and Branch Offices in Iran

Establishment of Foreign Representatives and Branch Offices in Iran

By: Jahanbaksh Nouraei
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January 2016–The Registration of Companies Act, the Law for Allowing the Registration of a Branch or Representative of Foreign Companies and its By-law, the Law of Protection of the Rights of Consumers and certain other legislation lay down rules for foreign companies acting in Iran through representatives and branch offices. Today, all foreign enterprises are in principle allowed to register and open branch and representative offices in the Islamic Republic of Iran in pursuit of their economic interests.



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     Dr. Behrooz Akhlaghi, Mr. Farhad Emam

Executive summary


Since 1931 when Article 4 of the Corporate Registry Act of Iran recognized two distinct legal forms for activities of foreign companies in Iran, namely establishing a branch office or appointing a representative, all of the Iranian laws and regulations have remained loyal to this dichotomy as if no other option exists. Even the new Commercial Code of Iran (2014) could not succeed in creating a modern business law for regulating the activities of foreign companies in Iran.


If a foreign company intends to establish a legal presence for itself in Iran, it needs to consider the following issues:


An Introduction By The Managing Director

Majd Edalat Legal Institute an Affiliate of Iranian legal Advocacy Foundation, benefiting from expert, skilled and experienced legal counselors, lawyers and industrial technicians are ready to provide our international clients with hi-quality legal services namely legal counsel, litigation, claim management, contracts drafting and management, domestic and international arbitration, debt collection, etc. in all fields of our specialty such as foreign investment law and regulations, upstream and downstream energy industry, auto industries, mines and mining industries, corporate law, air and aviation (purchase and sale of aircraft and aircraft components, aircraft leasing and chartering, control of the relevant claims for or against airlines, aircraft liability insurance body, etc.), established and start-up airlines, construction and operation of ports, new and renewable energies (solar, wind, etc.) marine law (buying and selling and chartering ships, etc. and related contracts, control of claims for or against shipping companies, marine insurance, etc.) and many others.

Looking forward to hearing from you, we will be at your disposal for any cooperation or service ordered by your esteemed end.


Dr. Ali A. Khademi

Managing Director

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MOU on Cooperation between the Organization for Investment Economic and Technical Assistance of Iran and the Danish Export Credit Fund (EKF)

The Director General of the Office of Loans and International Organizations of OIETAI announced the signing of MOU on cooperation between Iran and Denmark in the field of project financing. According to the Public Relations Department, after three rounds of negotiations between representatives of the EKF of Denmark and this Organization a Memorandum of Understanding for cooperation was signed by the Managing Director of the Danish Export Credit Fund (EKF) and the President of the Organization. Dr. Khazaee, the president of Organization, expressed  satisfaction with the expansion of mutual economic relations between the two countries and expressed hope that the MOU signing would lead to increase economic interactions between the both countries.

Parliamentary Deputy of Germany visited Iran Organization for Investment Economic & Technical Assistance

According to the Public Relations of OIETAI, the Parliamentary Deputy of the Ministry of Economy and Energy of Germany met with the Vice president of this Organization.

At the meeting, attended by the Head of the Economic Section of the Germany Embassy in Tehran, important issues such as; the resumption of economic ties, enhancing trade and investment cooperation and also holding the Fifth session of the Iran and Germany Joint Commission of Economic Cooperation in the early of May 2016, were discussed.
The Vice President of the organization, referring to the history of economic and commercial relations between the two countries, welcomed the expansion of economic cooperation with Germany. In addition he pointed out that in the current situation, Iran is the safest and the most stable country in the region and reiterated that German investors and economic authorities should not only look at the Iran’s capacity, economic and investment opportunities but also the access to a market of 400 million people in the surrounding region.
At the meeting, the parties indicated that the Joint Commission of Economic Cooperation could develop a roadmap of economic cooperation and a framework for business model between the private sectors of both countries.