One of the many questions asked by our clients is: “Does Polish law recognise the concept of ‘piercing the corporate veil?’” Is it possible to disregard the separate legal personality of a company or corporation and make shareholders liable for the debts of the company? This question has been asked since the introduction of the market economy in Poland (in 1989) and there is still no clear answer. Continue Reading
On 15 January 2018, the Ministry of Digital Affairs (Ministry) held a conference to summarize the outcome of a public consultation on Poland’s draft GDPR implementation law. The consultation invited all citizens and entrepreneurs to express their opinion on the draft law on the protection of personal data, which was released by the Ministry on 14 September 2017.
The public consultation phase ended on 13 October 2017, with over 700 pages of proposals received. More than 400 participants from various industries attended the conference and took to the floor to discuss the new legislation and provide suggested solutions to be incorporated in the law. The Ministry rejected the vast majority of the proposed 641 amendments, giving consideration to just a few of them. Below is the summary of the major issues, which proved to be the most controversial.
The Slovak Ministry of Justice was very busy last year, and the recent amendment to the Commercial Code introduces a number of provisions that are aimed at fixing local malpractice related to mergers and liquidation of companies, use of “straw men” as executives and the impact of bad decisions of shareholders on the local affiliates.
In a previous post, we covered the topic of increased liability of executives for not filing the petition for bankruptcy. However, the Ministry of Justice did not stop just there. Continue Reading
Increasingly in recent years, businesses and other organizations have sought to understand the complex nature of the legal relationships between the European Commission, EU member states and the European Parliament, and to engage more effectively with “government,” whether at local, national or European levels.
Some governments across Europe have been stepping up to address this challenge by providing guidance as to how businesses can best engage with public bodies in their own jurisdictions. It is particularly welcome to see the Czech government, towards the end of last year, finalize its new Lobbying Act, which is intended to shed light on the process of legislation and define more clearly the parameters of lobbying and advocacy with government. Continue Reading
On 13 January 2018, a new regulation for the provision of payment services will come into force in the Czech Republic, introducing the most significant changes to the Czech banking market in recent years.
Newly Regulated Payment Services
This new regulation (Act No. 370/2017 Coll.) has been adopted in the Czech Republic based on EU Directive No. 2015/2366 called PSD 2. It responds to the progress in the area of electronic payments and the development of new types of services caused by the technological boom. The most significant change introduced is that additional payment services – payment initiation service and account information service – allowing third party providers to directly access customer’s bank accounts are newly regulated, and that providers of such services must obtain a license from the Czech National Bank. Continue Reading
The Polish Financial Supervision Authority (KNF) recently published (on 12 January 2018) a long-awaited statement relating to the “selected regulator’s expectations” as regards the interim period(s) relating to the implementation of the Payment Services Directive 2 (PSD2) in Poland.
The statement is key for banks and FinTech companies (TPPs) to understand how to operate until the full implementation of PSD2 in Poland. It also addresses the European Banking Authority’s (EBA) opinion of 19 December 2017 on the various issues resulting from the implementation of PSD2, in particular on the possibility of a “screen scraping”.
As of 1 January 2018, Hungary’s new communication platform is now in use. It is a concept similar to the electronic communication platform that has been widely available to private individuals for some time. The purpose of both platforms is to enable users to communicate efficiently with the central and local governments online. While private individuals are free to choose whether to use the electronic communication, businesses must act via the new platform. As of the beginning of the year, the electronic communication platform is the only route to reach out to authorities and government agencies and vice versa; the government will communicate with the business entities exclusively through this electronic platform. Each business entity must specify an email address in its corporate data.
As of January 1, 2018, those who are obliged to file a petition for declaration of bankruptcy of a company will face stricter liability in Slovakia, which could even result in their disqualification to sit on boards of Slovak companies. Continue Reading
Significant changes will affect Poland’s highest court when President Andrzej Duda, as expected, signs new legislation just passed by Parliament.
The changes are far-reaching, but among the major changes are:
Creation of a division of extraordinary control with new jurisdiction – A new chamber of the Supreme Court called the “Chamber for Extraordinary Control and Public Matters” (Izba Kontroli Nadzwyczajnej i Spraw Publicznych) will be created. Initially, the new Chamber will have the authority to re-adjudicate any judgment issued by any court that became final and binding after 17 October 1997, if necessary to ensure the rule of law and social justice where:
- The decision violates the principles or freedoms and human and civil rights specified
- in the Constitution
- The decision grossly violated the law by erroneous interpretation or misapplication thereof
- There is an obvious contradiction between important findings of the court and the collected evidence
- Such decision cannot be revoked or changed utilizing other remedies
Plans for Poland’s Central Communication Port – the largest infrastructure project contemplated for Central and Eastern Europe – continue to progress. The Council of Ministers recently approved an ambitious plan that contemplates implementation of the main investments over the next 10 years to the year 2027.