In order to facilitate and encourage the restructuring of non-performing loans the Cyprus tax laws were amended to temporarily exempt loan restructurings from tax. The amendments are applicable up to 31.12.2017. The amending legislation was published in the Cyprus Government Gazette on 31.12.2015. The amendments affect the Income Tax Law; the Capital Gains Tax Law;…
In order to provide a simplified legal framework for people who have private and financial interests in at least two countries, both within and outside the European Union, EU Regulation 650/2012 (or “Brussels IV”) was adopted on 4 July 2012 (the “Regulation”). The Regulation entered into force on August 17th, 2015 and is applicable to…
The European Court of Justice (“ECJ”) in Federación de Servicios Provados del sindicto Comisiones obreras (CC.OO.) v. Tyco Integrated Security SL, Tyco Integrated Fire & Security Corporation Servicios SA held that, “when workers…do not have a fixed or habitual place of work, the time spent by those workers travelling each day between their homes and…
If you have obtained a judgment or court order, you will want to enforce it in a jurisdiction where the judgment debtor has assets or is located in order to receive whatever the court has granted. EC Regulation 44/2001 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (known as the “Brussels Regulation”) lays…
The Wills and Succession Law determine who will inherit a person’s estate when they pass away. Cyprus succession law provides for “forced heirship”. The rules of forced heirship in Cyprus are fairly complex and inheritance depends upon which family members survive the deceased. The significance is that law determines who will inherit a person’s estate…
Amending Law 4 of 2015 introduced important innovations to Cyprus Companies Law (Cap. 113) (the “Law”). These innovations are aimed at simplifying processes and increasing competitiveness. The amendments came into effect from the 19th of June 2015. Following the amendments, it is now possible for a company to be incorporated as a general commercial company…
1. Introduction The questions below are intended to help shareholders identify and, if relevant, negotiate certain (indicative only) matters regarding regulation of a Cyprus company. The questions are aimed at providing a starting point for discussions between the owners regarding the establishment of a management structure of a Cyprus company. Note that not all the…
1. Introduction Cyprus Company Law is based on the principle of the majority rule. Consequently Cyprus courts will not generally interfere in the internal management of companies. However, in cases where shareholders become oppressed by the controlling or majority shareholders or even the board of a Company, minority or oppressed shareholders can seek redress and…
The Cyprus parliament approved a new insolvency framework aimed at streamlining and modernising the existing system and promoting a rescue culture. The legislation includes the enactment of entirely new legislation and amendments to existing legislation and relates to the insolvency of both natural and legal persons. The new Insolvency framework The new insolvency framework comprises…
A shareholders’ agreement is a confidential legal document between the shareholders of a company. As such the agreement it is not accessible to third parties unless disclosed. The agreement ensures that a mutual understanding exists between the shareholders’ by explicitly providing the agreed terms for the management and control of the company. Moreover, shareholders agreements…