Payment transactions – a few particularities
The foreign exchange law is relatively unknown although the daily processes imply payment transactions on a regular basis. In practice, this occurs by means and under the supervisions of banks. Some principles and particularities will be discussed below.
Simplified rules for LLCs as well as for Commercial Register Procedures
The month of November brought two long-awaited amendments to the Law No. 31/1990 on companies, which are intended to further stimulate investments in the context of the difficult economic situation caused by the SARS-Cov-2 pandemic.
Rooftop PV systems can be erected by prosumers without any building permit
According to the new version of the law no. 50/1991 regarding the approval of construction works (“Construction Law“), amended on 11.01.2020, mounting PV systems on rooftops is possible again without any building permit. We have reported several times about the inconsistent course of the Romanian legislative body in this regard.
Privacy Shield invalidated – What next?
On the 16th of July 2020, The Court of Justice of the European Union (ECJ) invalidated the Privacy Shield. This could have a major direct impact on the business relationships between European companies and their US business partners in case personal data is transferred from the EU to the USA.
Capitalization – helping hand or double-edged sword?
After almost half a year of trying to limit the spread of the Coronavirus through restrictions, many companies are currently unable to expand their operations and pay the taxes due. This is often due to lack of cash flow, difficulties in collecting trade receivables, decline in revenues, etc.
NEWSFLASH - Share Deals in Romania Simplified
NEWSFLASH - Share Deals in Romania Simplified On the 5th of November simplifications of the Companies’ Law 31/1990 came into force, which ease, among others, the transfer of shares to third parties (non-shareholders). In contrast to transfers among existing shareholders, the lengthy 2-step procedure for assignments to third parties took about 2 months. Now this procedure has been significantly shortened and adapted to the investors’ requirements, which is an answer to the voices from practicians over the past 10 years. Please find more details here.
NEWSFLASH - Financial support for SME from external non-reimbursable funds
NEWSFLASH - Financial support for SME from external non-reimbursable funds Given the drastic economic effects of the current SARS-Cov-2 pandemic and the crucial role of small and medium enterprises (hereinafter “SME”) for the Romanian economy, the Romanian Government has issued the Emergency Ordinance no. 130/ 2020 (hereinafter “EO 130”), by which it sets the conditions for granting financial support for Romanian SMEs from external non-reimbursable funds. The financial support can be granted until 31.12.2020 at the latest. Please find more information here
Update of the Romanian trademark law
In December 2015, the Directive (EU) 2015/2436 to approximate the laws of the Member States relating to trade marks was adopted. According to the directive, the EU member states were supposed to implement it in their national legislation by 14.01.2019.
NEWSFLASH_The_correct_identification_of_the_ultimate_beneficial_owners
NEWSFLASH_The_correct_identification_of_the_ultimate_beneficial_owners As already communicated several times, companies, associations and foundations must register the ultimate beneficial owners (in short UBO) either with the Commercial Register or with the Ministry of Justice by November 1st, 2020. The correct identification of the UBO caused difficulties for some companies because the legal definitions are not easy to implement in a multi-level international group structure. Our law firm directed several inquiries to the Anti-Money Laundering authorities in order to find out how the definitions were interpreted in certain cases, especially since the practice of the commercial register is inconsistent. Please find more details here.
New regulations in public procurement law
Beside the regulations coming into effect in the context of the Covid-19 pandemic, further legal acts regulating the award of public contracts have been enacted this year. For instance, after the Emergency Government Ordinance no. 23 dated 04.02.2020 has been declared unconstitutional due to lack of certain opinions on the part of authorities, the Government Emergency Ordinance No. 114 dated 09.07.2020 (hereinafter referred to as the “GEO”) entered into effect, restating some provisions of the unconstitutional ordinance with partial amendments.