Law of the Republic of Lithuania provides incorporation of the following legal types of companies: private enterprise, limited partnership, joint stock company, joint stock company limited, public company, investment company, agricultural company, cooperative society, state-owned enterprise, municipal enterprise. For a purpose other than profit-making, non-profit organizations may be established. Also on 1 May, 2004, the Law on European Economic Interest Groupings (EEIG) of the Republic of Lithuania came into force. This Law is applicable to the European Economic Interest Groupings with registered offices in the Republic of Lithuania. An EEIG is a private legal entity which has a goal to assist its members to carry out or expand their economic activities, to achieve better activity outputs; however, its main goal is not to make any profit.

Companies are divided into limited and unlimited liability enterprises. Private enterprise and partnership are unlimited liability enterprises while undertakings of the other legal forms are limited liability enterprises.

Limited liability enterprise is liable for its obligations solely in the frame of the enterprise's property. Unlimited liability enterprise is liable for the obligations to the extent of the enterprise assets, and if the latter is not sufficient to cover the obligations, owner of a private enterprise is liable for the obligations of the enterprise with all his property. What concerns partnership, the general partner is liable for the obligations with his property.

Contacts:

Company Law Division
Ministry of Economy of the Republic of Lithuania
38/2, Gedimino Ave., LT-01104 Vilnius
Tel.: +370 5 262 18 60, +370 5 262 86 04
Fax: +370 5 262 39 74
E-mail: kanc@ukmin.lt
www.ukmin.lt

Legal acts:

• The Civil Code of the Republic of Lithuania;
• The Law on Companies of the Republic of Lithuania;
• The Law on Individual Enterprises of the Republic of Lithuania;
• The Law on Partnerships of the Republic of Lithuania;
• The Law on Cooperative Societies (Cooperatives) of the Republic of Lithuania;
• The Law on Public Establishments of the Republic of Lithuania;
• The Law on European Economic Interest Groupings of the Republic of Lithuania.