Welcome to Brodies’ weekly corporate news update which highlights selected legal and regulatory issues affecting the business community this week.
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Business and Industry: Finance and investment
Ian Ritchie of the Royal Society of Edinburgh considers its report on the financing of business innovation in Scotland and the role of business angels.
Business and Industry: Retailers call for cut to tax and red tape
Recommendations published by the Scottish Retail Consortium on the future of the High Street
Company Law: Beneficial ownership
The Government is proposing to force companies and LLPs to detail exactly who their shareholders (or members) are, in a bid to make it clear who really owns or controls them
Company Law: Derivative actions
Investor Barrie Bridge is using the Companies Act 2006 derivative claim procedure to sue six current and former directors of Elektron Technology regarding their management of the company. The derivative claim seeks permission to pursue the action to recover £2 million in funds from the directors on behalf of the company. The court will decide whether to grant permission to pursue in October 2014.
Small Business, Enterprise and Employment Bill 2014 (HC Bill No.11)
This Bill, which had its first Commons reading on 25 June covers (amongst other things): improved access to finance for businesses and individuals; regulatory provisions relating to business and certain voluntary and community bodies; the exercise of procurement functions by certain public authorities; the regulation of companies; company filing requirements; director disqualification.
Bill as introduced
Competition Law: Safe harbour rules for minor agreements
The European Commission has issued revised rules (its so-called “De Minimis Notice”) for assessing when minor agreements between companies are not caught by the general prohibition of anticompetitive practices under EU competition law. The Notice facilitates the assessment of compliance with EU antitrust rules for companies, especially SMEs.
European Commission news release
European Commission FAQ document
Competition Law: new rules for State Aids in Agriculture, Forestry and Rural Areas
The Commission adopts revised and updated criteria under which Member States may support agriculture, forestry and rural areas, in line with EU state aid rules.
Negligence: Liability of parent companies for their subsidiaries
The English Court of Appeal has determined that a parent company was not liable for asbestos-related illness suffered by a subsidiary’s employee
Thompson v Renwick Group Plc
On July 2, 2014