Adapting to new laws and regulations worldwide: a challenge for the C-suite

Regulations across the globe are constantly evolving. New laws, decrees and case laws bring significant changes to many jurisdictions on a regular, sometimes unexpected basis.

It is crucial for the C-suite to always be informed of what’s new and what the consequences would be for their business – but how to keep track?

Imagine the impact on corporate headquarters if a local subsidiary was not following a new set of laws. The results could be devastating. Still, staying on top of what’s new and useful to multinationals is a continued challenge. Companies must make a clear distinction between what’s nice to do and what’s required in this complex regulatory environment.

To assist companies in tackling the never-ending flow of legal information, EY Law leverages its international network of 3,500 business lawyers in more than 90 jurisdictions to publish a comprehensive guide of the latest legal evolutions taking place across the world. Thanks to the unique half-yearly worldwide Corporate and Commercial Law newsletter, companies can be informed of the most recent and noteworthy legal news across a number of jurisdictions.

The latest issue of this newsletter, published in February 2023, features articles on current legal affairs around the globe from a total of 37 jurisdictions, reflecting the global reach and diversity of the EY Law services, from corporate law, civil law and commercial law to regulatory aspects. Some of the topics in the latest edition are touched on below.

Major changes to be noted on a global level include the broader implementation of rules about ultimate beneficial owners (“UBO”) in New Brunswick (Canada), Colombia, Mexico and Latvia simultaneously. This set of rules had been implemented in EU countries via the EU Directives of 20 May 2015 and 30 May 2018. Such Directives deal with the prevention of the use of the financial system for money laundering or terrorist financing and have resulted in the creation of a UBO register, in each EU country, that is now accessible to a limited number of people.

Alongside those enhanced transparency rules, India, Denmark and Ireland introduced new foreign investment rules, and France has allowed a better interpretation of current foreign investment rules. Other countries, such as Dominican Republic and Azerbaijan, made foreign investments easier by promoting and protecting foreign investments. This highlights a trend whereby many markets are increasingly welcoming and protecting foreign investors – who are sometimes key to national economies – while at the same time shielding certain national sectors from foreign investments.

In this edition of the Corporate and Commercial Law newsletter are a number of new laws and market practices which are important to businesses having activities in Europe. Highlights include the modernization of company laws in Switzerland, Lithuania and Greece, amendments to the Belgian civil code or the implementation of the 2019/2121 EU Directive on cross-border conversions, mergers and divisions in Finland and Sweden, as well as a procedure of administrative dissolution without liquidation in Luxembourg.

Outside Europe, noteworthy developments include a bill proposing substantial amendments to the Uruguayan company law, amendments to Taiwan’s Business Mergers and Acquisitions Act and significant changes to New-Zealand’s commercial law.

Local laws impact the operations of multinational corporations in various areas such as corporate law, trade, investment, intellectual property, and employment practices, among others. C-level executives have the responsibility of managing legal risks and ensuring compliance with laws and regulations to promote the long-term success of the companies they manage and maintain positive relationships with stakeholders.

This Corporate and Commercial Law newsletter provides a comprehensive overview of changes in local laws and their potential impact on a company's operations. It is created and updated by a worldwide network of skilled lawyers with consistent interpretations, high-quality standards, and a strong commitment to assisting clients with identifying and managing legal risks and ensuring compliance with international laws and regulations.

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