Commercial Legislation
Jordanian Companies Law — Consolidated to 2026
A concise guide outlining the scope of the Jordanian Companies Law, procedures for forming and registering principal company types, and practical effects on management, liability and liquidation. The summary highlights procedural rules and legal constraints as consolidated to 2026 and stresses the need to verify the original texts.
Updated: 24 March 2026
Prepared and reviewed by: Ashraf Al-Khawaja
Scope of Application and Legal Hierarchy
The law applies to companies engaged in commercial activities and to matters expressly regulated therein; where the law is silent, issues are referred to the Commercial Code and then to the Civil Code, with guidance from custom, judicial precedent and doctrine. Practically, company provisions must be read against the broader commercial and civil legal framework and any gaps require recourse to other statutes and case law. Users should verify the operative text and subsequent amendments, since practical application depends on the official wording.
Company Formation, Registration Procedures, Publication and Objections
Upon formation and registration a company becomes a Jordanian legal person with its principal center in the Kingdom, subject to filing the memorandum and statutory particulars with the Companies Controller. The law restricts trade names (no fraudulent or confusingly similar names) and empowers the Controller to refuse or cancel registration; companies may submit written objections within prescribed periods against confusingly similar registrations. Practically, registration involves administrative and timing requirements (decision periods, publication in the Official Gazette and on the registrar’s website) and implementation rules for electronic filing and publication; compliance with prescribed forms, deadlines and appeal routes is essential.
Partnerships: General and Limited Partnerships — Liability and Management
The law distinguishes partnerships: in a general partnership partners bear joint and several liability for company debts, and the memorandum must specify partners’ names and managers’ signing powers. An authorized manager owes duties of accounting, loyalty and disclosure and may be liable for negligence or misappropriation of company benefits. In a limited partnership there are general (active) partners and limited (silent) partners with differing liability; a limited partner who participates in management becomes effectively liable as a general partner. Procedurally, these entities must file formation documents with the registrar and publish registration; certain statutory triggers apply to bookkeeping, audit and dispute mechanisms.
Limited Liability Company (LLC): Capital Structure, Management and Controls
The LLC separates corporate assets from partners’ personal assets, capital is divided into registered shares and the company is managed by a sole manager or a board of managers. The law prescribes required contents of the memorandum and bylaws, obligations to file and present audited annual financial statements to the general assembly and the registrar, and rules on meetings, quorums, voting, share transfers and sale procedures. Practically, partners and managers must observe bookkeeping and financial filing duties, timing for capital payments and increases, and statutory measures in the event of accumulated losses that may trigger liquidation or capital restructuring.
Venture Capital Companies and Dissolution/Liquidation Procedures
The statute establishes a special regime for venture capital companies, specifying the composition (managing and financing partners), partnership agreement requirements, and prohibiting investments in companies listed on the financial market as provided by law. These companies are recorded in a dedicated register and must meet defined incorporation and disclosure requirements. Regarding dissolution, the law enumerates grounds for termination (partners’ agreement, expiry of term, impossibility of objective, single surviving partner, insolvency, judicial annulment) and sets out procedures for appointing a liquidator, publishing notices and ordering creditors’ claims by statutory priority. Practical compliance requires adherence to notification and publication procedures, submission of final accounts and following the judicial and administrative routes prescribed for challenges or leftover assets.
Legal notice
Notice: The foregoing is a general educational summary based on the consolidated statutory text referenced and linked on the source page. It does not substitute for the operative statutory text or for advice from a licensed attorney. Always verify the official text, subsequent amendments, deadlines and detailed procedures with the competent registrar or a qualified legal adviser before taking any action.
Sources and references
Verify the official text and latest amendments before relying on this material professionally.
