Newsletter
RECORDATION OF A FOREIGN COMPANY NOT THE SAME AS RECOGNITION
The Company Act provides that a foreign com-pany that wishes to do business in the ROC, must first obtain recognition from the Ministry of Economic Affairs and register a branch office; while a foreign company that does not intend to set up a branch office and do business in the ROC, but only to send a representative to con-duct business-related legal acts, should apply to the MOEA for recordation of a representative's office.
Accordingly, in an interpretation dated 7 Sep-tember 2004, the MOEA stated that "recogni-tion" and "recordation" are different administra-tive dispositions, each creates a different legal basis for operations, and that recordation cannot have the same effect as recognition.