New European Directive on liability for defective products - implementation requirements
Directive (EU) 2024/2853 on liability for defective products (“the Directive”) was published in the Official Journal of the European Union on 18.11.2024. All member states, including Romania, must transpose the directive into national law by December 9th, 2026. The following is an overview of the key principles.
RetuRO - SGR - Recycling system - The calculation of fees
Following its introduction in October 2023 and the initial delays, the so-called SGR recycling system in Romania has gained momentum. It was not until 10.10.2024 that the Ministry of the Environment published procedural rules on the calculation of (i) the administrative fee and (ii) the processing fee for operating the SGR system. These have been in force since 14.10.2024.
Minimum salary - new regulations implement EU law
Romania has to implement the European Minimum Salary Directive until the 15th of November 2024. According to the press, the corresponding law (draft PL-x no. 568/2024 - hereinafter the “Law”) has already been passed by the President and only needs to be published. In addition, the draft of a government resolution on the procedure is under discussion. What does this mean for companies in Romania, and what does the future hold?
Legal obligation to organize internal auditing
All Romanian companies whose annual financial statements are subject to statutory auditing must organize an internal audit in accordance with the applicable legal standards. However, this can also be beneficial for others.
Competition law: focus on abuse of a superior negotiating position
In June 2024, the Romanian Competition Council announced for the first time an ex officio investigation into the alleged abuse of a superior bargaining position by a supplier of liquid oxygen to the detriment of a hospital. This was followed shortly afterwards by an unannounced audit of a company in the pharmaceutical industry. The Competition Council also focused on other situations, such as car repair shops, whose repair invoices must be accepted in full by the insurer in the context of liability insurance claims, in accordance with the law. Until recently, only the abuse of a dominant market position fell under the jurisdiction of the Competition Council. In addition, there is now the exploitation of a “superior negotiating position".
Prolongation/relocation of registered offices - a difficult procedure?
It is often the “simple” issues that can cause problems in practice. This concerns, among other things, the duration of the right to use a company's registered office in Romania. If this expires, the Romanian tax authorities can quickly take drastic measures with regard to the company. The same applies to the relocation of the registered office that has to be entered in the commercial register. Currently, however, the extension or relocation of a company's registered office has become more difficult.
Electronic signature in employment relationships
The urge for flexibility in labor relations, which has been omnipresent since the coronavirus at the latest, has led to an increasing number of legal transactions in labor law being concluded in absentia. In this context, electronic signatures are playing an increasingly important role. Although new basic regulations regarding e-signatures came into force on 08.10.2024, some special regulations apply in employment law.
CBAM reporting: A new step in EU environmental policy
What does CBAM reporting involve? The Carbon Boundary Adjustment Mechanism (CBAM) was introduced by the EU as part of its ongoing efforts to combat climate change. Regulation (EU) 956, which comes into force in October 2023, aims to regulate carbon emissions from goods imported into the EU and prevent carbon leakage - a phenomenon that occurs when industries relocate their production to countries with less stringent environmental regulations.
Lending in Romania. What is professional lending and when does lending become professional?
This article is the third in our series on lending to/by companies and related issues. It deals with general aspects of lending in Romania and when it becomes “professional lending (creditare cu titlu profesional) subject to authorization. This is particularly relevant for companies that grant loans to other companies or persons in Romania.
Large open-space photovoltaic parks caught between two legal areas
Large ground-mounted photovoltaic parks (i.e. over 50 MW) represent an important solution in the fight against climate change and for achieving the energy targets from renewable sources adopted by Romania. In recent years, the development of numerous large ground-mounted photovoltaic parks has begun, some of which have already received authorisation for connection to the public grid. In Romania, ground-mounted photovoltaic parks connected to the national electricity grid must comply with two types of regulations: those relating to energy and those relating to construction and urban planning. There are therefore two authorisation procedures for the construction of a photovoltaic project: (i) one for the construction project (pursuant to Construction Law no. 50/1991 and Law no. 350/2001 on urban planning and territorial development) and (ii) one for all energy production capacities (pursuant to Energy Law no. 123/2012 and the secondary regulations issued by ANRE).