We are pleased to announce the publication of Doing Business in Cyprus, by Thomson Reuters Practical Law.
The Cyprus chapter of the Doing Business in… series offers a granular examination of the legal and regulatory environment for commercial operations in the jurisdiction. Authored by our team members, Christina McCollum, Anastasios A. Antoniou and Irena Zannetti, the guide provides a high level overview across the following critical domains:
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Legal system: An overview of the Cypriot legal framework, noting its foundation in English common law, the codification of common law principles into statute, and the supremacy of European Union law.
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Foreign investment screening: A detailed review of the foreign direct investment (FDI) screening framework under Law L.194(I)/2025, detailing mandatory notification requirements, value and participation thresholds, and sectors of strategic importance, alongside specific industry restrictions and relevant exemptions.
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Business vehicles: An analysis of the most common corporate structures, including private limited companies, public limited companies, alternative investment funds (AIFs and RAIFs), and Cyprus international trusts. The chapter covers formation procedures, statutory reporting obligations, and share capital requirements.
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Employment Law: A comprehensive summary of the employment relationship, encompassing statutory rights, transparent and predictable employment conditions, discrimination prohibitions, and the strict rules governing lawful dismissal, redundancy, and notice periods. Environmental compliance obligations, such as waste management and pollution control, are also addressed.
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Competition and merger control: Guidance on the prohibition of restrictive agreements and the abuse of a dominant position, as enforced by the Commission for the Protection of Competition (CPC). It also details the merger control regime, including jurisdictional thresholds, gun-jumping penalties, and the implications of foreign-to-foreign acquisitions.
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Intellectual property: An outline of the registration, protection, and enforcement mechanisms for patents, trade marks, registered and unregistered industrial designs, copyright, and business names.
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Commercial and marketing agreements: An examination of the regulatory frameworks governing commercial agency relationships, distribution contracts, and franchising agreements.
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E-Commerce and data protection: A review of obligations under the EU Digital Services Act, Digital Markets Act, and the General Data Protection Regulation (GDPR), alongside national implementations concerning electronic signatures, distance selling, and direct marketing.
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Product liability: An assessment of manufacturer and supplier liabilities under the General Product Safety Regulation, contract law, and civil torts regarding defective products.
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Regulatory Authorities: A directory and functional overview of key supervisory bodies relevant to business operations, including the Central Bank of Cyprus, the Cyprus Securities and Exchange Commission (CySEC), the Digital Security Authority (DSA), and the Unit for Combating Money Laundering (MOKAS).
Doing Business in Cyprus is accessible to Practical Law subscribers here.