SIEMENS MEDICAL SYSTEMS

Citations

• 19 I. & N. Dec. 362

Syllabus

SIEMENS MEDICAL SYSTEMS, INC., 19 I&N Dec. 362 (Comm. 1986) ID 3008 (PDF) (1) Where each of two corporations (parents) owns and controls 50 percent of a third corporation (joint venture), the joint venture is a subsidiary of each of the parents for purposes ofsection 101(a)(15)(L) of the Immigration and Nationality Act, 8 U.S.C. § 1101(a)(15)(L) (1982). Matter of Hughes, 18 I&N Dec. 289 (Comm. 1982) clarified. (2) Each parent, through ownership and control of 50 percent of the voting shares of the joint venture, has the power to prevent action by that company through exercise of its veto powerhence, each parent \negatively\ controls that company. (3) All agreements between the parents relating to voting of the shares, distribution of profits, management and direction of the subsidiary, and similar factors which affect actual control over50 percent of the subsidiary must be identified. Unless such agreements restrict the actual control of one parent, the 50-percent ownership will be deemed per se control.