Legal
Parliament passes extensive amendment to Foreign Nationals’ Residence Act
The amendment underwent significant changes in the course of the legislative process. The approved wording includes the government’s authorisation to set economic migration quotas and to activate extraordinary work visas. The amendment will also…
Amendment to Asset Valuation Act to define market value
Draft amendment to the Asset Valuation Act submitted by the government to parliament aims to introduce a definition of market value as an alternative valuation method into Czech law. If passed, the new law should enter into effect on 1 January 2021.
Revolution in AML to affect all legal entities
With the implementation deadline for the fifth AML Directive approaching, preparations of legislative proposals transposing it into Czech laws are underway, including, among others, an amendment to the Czech AML Act (No. 253/2008 Coll. – Act on…
Class action lawsuits are coming to the Czech Republic. Retail better get ready!
A separate bill drafted by the justice ministry is to introduce the class action to Czech law, allowing holders (or purported holders) of identical or similar claims to assert these in court jointly, in single proceedings. This could mainly affect…
CNB to crack down on sales of bonds to non-professional clients
The Czech National Bank (CNB) issued Supervisory Benchmark No. 2/2019 on acquisitions of investment instruments by clients or investment funds, tightening the rules of acquiring complex investment instruments (namely corporate bonds) by so-called…
EU Copyright Directive finally adopted
In mid-May, the EU directive regulating copyright in the digital single market was published in the European Union’s Official Journal. The final and concrete extent of the new rights and duties will only be known once Czech legislators adopt the…
Outsourcing in financial services – new and stricter guidelines
The European Banking Authority (EBA) has issued new and stricter guidelines on outsourcing arrangements, affecting all entities subject to its supervision, including payment and electronic money institutions. EBA’s guidelines have been prepared in…
New EU Prospectus Regulation: more obligations for issuers or less strict rules?
What major changes in disclosing information about securities are to be introduced by Regulation (EU) 2017/1129 of the European Parliament and the Council? The regulation will be directly applicable from 21 July of this year. Will issuers of…
Establishing trades or corporations easily, quickly and on-line?
To the Chamber of Deputies, a group of deputies has submitted a motion to amend legislation regulating the establishment of corporations. The proposal should enable the establishment of a trade or a limited liability company easily from home via the…
Financial market about to change
In mid-February, an amendment that may bring significant changes to several financial market segments was submitted to the Chamber of Deputies. What are the amendment’s major points? What should entities operating in the financial market prepare…
What expenses are reasonably incurred when mortgage loans are repaid prematurely?
In early March, the Czech National Bank published its opinion on expenses that can be regarded as reasonably incurred in connection with the early repayment of a consumer loan for residential purposes. What are the CNB’s views on this? Shall we…
Transfer of garage parking place without pre-emptive right again?
The government approved and submitted to the parliament another amendment to the Civil Code, which prescribes, among other things, an exception from the pre-emptive right to a co-owner’s share in real property in certain cases of residential co…