JŠK Legal Flash
EU Regulation eliminates Requirement of Legalisation for certain foreign public documents
The EU regulation sets out further simplification of administrative formalities for the circulation of certain public documents between EU member states authorities. Certain public documents will no longer require an apostille when presented to other Member States authorities. EU citizens can also request a multilingual form which will (if it is considered sufficient by an EU member state authority) abolish the necessity for translation of the document. The regulation (besides other documents) also relates to the evidence of the absence of a criminal record, which seems very useful when appointing foreign persons into company bodies. Although the regulation has been fully effective since February of this year, it is not yet widely used.
(Regulation 2016/1191 of the European Parliament and of the Council of 6 July 2016)
Amendment to the Capital Markets Act – new obligations for issuers and shareholders to encourage long-term shareholder participation
The Chamber of Deputies of the Czech Parliament approved a draft transposition law of the European Directive encouraging the long-term participation of shareholders in listed companies. The legislation aims to reduce issuers' short-term risks and to incentivise shareholders to pursue middle and long-term yields. Listed companies will have the right to know their ultimate shareholders. They will also have to lay down the remuneration policy of their top management, which will require approval by the general meeting. Some material transactions with related parties will also be subject to such approval. The law will also introduce obligations leading to a higher level of transparency of institutional investors, typically insurance and reinsurance companies, which will have to publish the policy and strategy of their involvement in relation to listed companies.
Employers in the EU must precisely record time worked by their employees
The Court of Justice of the European Union ruled that Member States are required to take measures necessary to ensure that all employers set up an objective, reliable and accessible system enabling the time worked by each employee to be measured. According to the Court, such a system is necessary to protect employees' rights to maximum working time and minimum rest periods. Where such a system is not available, the purpose of the EU legislation whereby employees' rights are deemed essential for the protection of occupational health and safety cannot be fulfilled. In the Czech legal environment this obligation of employers is set by Section 96 of the Labour Code.
(Judgment of the Court (Grand Chamber) of 14 May 2019)