taking into consideration of the past year’s operations and plans and
targets oriented to the future. The rule of granting permits for maxi-
mum 3 years at the first application for operation permits of liaison
offices is not amended. However, from now on, whether the term will
be extended and the duration of the extension will be decided accord-
ing to the characteristics of the executed operation of the liaison office.
Pursuant to the Regulation, operation permits of liaison offices autho-
rized for conducting marketing research or to advertise the products or
the services of the foreign company shall not be extended. Apart from
that, the Regulation sets forth 5 different categories regarding the char-
acteristic of the operation and according to these 5 categories, the dura-
tion of extension can be varied as 5 or 10 years. The operation permits
of the liaison offices which conduct operations in the following will be
extended for 5 years: (i) representation and entertainment (the repre-
sentation of the foreign company before the sectorial institutions and
the relevant organizations, the coordination and the organization of
business contacts of the foreign company’s officials in Turkey, provid-
ing an office to such persons), (ii) control and supervision of the sup-
pliers in Turkey with regards to the quality and standard and procure-
ment of suppliers (the supervision of the companies which produce in
the name of the foreign company with regards to its quality standards,
the satisfaction of the demand of products and producers of the foreign
company), (iii) provision of technical support (providing training and
technical support to the distributors, providing support services to the
supplier producers in order to increase their quality standards), (iv)
Communication and information transfer (gathering and transmitting
information regarding the developments in the market tendency of con-
sumers, sale scores of the rival firms and distributors, performance of
the distributor company, etc.in order to transfer to the foreign compa-
ny which has business relations with Turkey, ). The permits of liaison
offices, which conduct operation as a regional head office (for the units
of the foreign company in the other countries, providing management
service and coordination in context of the activities such as the creation
of strategies of investment and management, planning, promotion,
sale, post-sales services, brand management, financial management,
technical support, r&d, foreign procurement, testing of newly devel-
oped products, laboratory services, research and analysis, education of
employees, etc.) may be extended for 10 years.
MISCELLANEOUS
353