'New Code', Yes or No?
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23rd Jan, 2019
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Headquarters Magazine has invited KOAN Law Firm’s experts Antoine Druetz and Alix Degrez to provide a sense of clarity with their insights and updates about the Belgian Companies and Associations Code (hereafter: “New Code”).
Since June 2018, the Belgian House of Representatives has been working on the draft bill to introduce the companies and associations Code. The New Code aims (i) to harmonise the rules applying to Belgian companies and non-profit legal entities, (ii) to modernise Belgian corporate and non-profit law and (iii) to end most debates amongst legal scholars.Although the New Code should have been adopted end of 2018, its fate is now uncertain since the Belgian political crisis. Indeed, following the fall of the Belgian federal government in December 2018, there is no longer a parliamentary majority within the House of Representatives.
Consequently, there are now two scenarios that can occur prior to the Belgian federal elections of May 26, 2019:
- The parliamentary works on the draft bill introducing the New Code continue (which has been the case so far)and a majority of the parliamentarians adopts the draft bill introducing the New Code;
or
- The parliamentary works on the draft bill introducing the New Code slow down and/or no majority of the parliamentarians agrees on the adoption of the draft bill introducing the New Code.
It is clear that the next three months will be decisive and that the fate of the New Code is in the hands of the Belgian political parties.
KOAN Law Firm pays close attention to this adoption process, and will be releasing a new detailed update for Headquarters’ readers in April.
More information on the New Code can be found here.
