If there are compelling legal and/or business reasons to justify creation of a separate corporation, the university will establish legal entities abroad to operate as separate subsidiaries or stand-alone affiliates. Determining whether and how to register the university in a foreign country is a legal and often strategic decision. The university will register only if doing so is necessary to comply with foreign country laws and regulations, and more expedient alternatives are not available.
Approval from the Cornell University Board of Trustees is required (Cornell University Policy 4.11).
Before budgeting for a project Global Operations can help you get answers to important questions related to taxation, human resources, banking, risk, safety, insurance, compliance and more.
New programs or projects that intend to conduct business in any foreign country will be subject to the host country’s legal statutes and regulations. Unless all business (including educational) functions are conducted through a partner organization, country-specific laws classify “conducting business” to include: opening a bank account, employing local or expatriate staff, utilizing the services of a independent contractor, buying or leasing real estate, generating income, providing educational services, and/or operating on a long-term basis.
If local legal counsel or operational support is required for program activity start-up compliance or ongoing work, you will need to include these costs in your program’s budget. All requests to retain counsel must be made through Cornell’s Office of University Counsel.
Please contact Global Operations to ensure program activities are classified correctly and comply with local laws and Cornell’s procedures around international work.