Operating Foreign Companies in Jordan

Analysis

The issue of the operating foreign companies in Jordan is dealt with in Articles 240 - 244 of the Jordanian Companies Law No. 22 for the year 1997 (the "Law").

According to the Law, an Operating Foreign Company means a Company or an entity which is registered outside the Kingdom, whose headquarters are in another country and whose nationality is considered non-Jordanian. 

In terms of its nature it shall be divided into two main types:

  1. Companies operating for limited period, which are awarded tenders in order for them to realize their work in the Kingdom for a limited period. The registration thereof shall cease upon the completion of such work unless the said Company obtains new contracts, in which case its registration shall extend to cover the execution of such work. Its registration shall be cancelled after completion of all its work in the Kingdom and after its rights and obligations are settled.

  2. Companies operating permanently in the Kingdom under license by the competent official authorities.