The need to regulate the so-called “holding law” within the commercial law has raised much controversy for some time now. Unlike certain foreign legal frameworks, the Polish law had been functioning with merely fragmentary regulations in that regard – legal scholars had been debating the purpose of introducing such solutions to the Polish Commercial Companies Code.
On 5 August 2020, the Government Legislation Centre published the detailed assumptions of the draft amendment to the Commercial Companies Code developed by the Commission for Owner Oversight Reform with the Ministry of State Assets (the “Draft”). The Draft’s primary assumption is to enact the so-called “holding law” laying down the principles of how a parent company may instruct its subsidiaries, as well as stipulating the parent company liability and the principles of creditor, officer and minority shareholder protection. Continue Reading