What Should Be Done If a Foundation Registration Application Is Rejected?

Foundation Formation and Foundation Deed

Prepared by: Constantinople

Rejection of foundation registration may not be overcome simply by filing the same petition again. The grounds of the reasoned decision must be identified first: uncertainty in the purpose or assets, unlawfulness, insufficient resources, representation issues and incomplete documentation require different assessments. Where the foundation's purpose and allocated property and rights are sufficiently defined, not every secondary deficiency automatically justifies rejection. Whether the court considered an opportunity to rectify the deficiency is also important.

The lawyer should receive the application petition, official deed, interim court orders, Directorate General of Foundations opinion, expert reports and service documents together. The operative page alone is insufficient to establish the grounds for a challenge. The stage at which rejection occurred and the appeal notice are examined to determine the available remedy and time limit. Since the internet contains regulations and procedural deadlines from different periods, a deadline in a single old text should not be relied upon.

Problems that can be remedied by supplying missing documents must be distinguished from those requiring changes to the deed or formation plan. If an appeal is contemplated, the service date should be recorded without delay. Giving undertakings to third parties on the assumption that the foundation exists before the application is accepted creates a separate risk. Protection of allocated assets and continuation of representative authority are also addressed.