vLex European Union

Below please find a list of global tax measures in response to COVID-19. United States - On March 25 and March 27 the U.S. Senate and House of Representatives, respectively, passed the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”). The President signed the CARES Act into law shortly after and without hesitation.... (See Article)

BACKGROUND - The Covid-19 pandemic will likely affect the business of Italian companies in the short and medium term. Accordingly, Board of Directors are currently reviewing their dividend distribution policies. (See Article)

EU, UK Competition Law and State Aid During the COVID-19 Pandemic- While not the most important concern, it should be appreciated that EU and national antitrust/competition law, plus the State aid rules, continue to apply in the EU and UK during the coronavirus (COVID-19) crisis. So far as the UK is concerned, it is subject to EU law until at least 31 December 2020 while the post-Brexit transition period is running. In any event, the UK has its own national competition law which remains in force... (See Article)

The draft RTS introduce new, potentially more onerous obligations on the administrators of all categories of benchmarks. Key Points: ..The draft RTS contain new guidance that makes clear who is responsible for which decisions in relation to benchmark administration, including extending these responsibilities to general management. ..The draft RTS also include further explanation on the requirement for back-testing, to ensure that benchmarks are traceable and verifiable. ..Additional direction is provided on the continuous monitoring and surveillance obligations which have to date been subject to market divergence. ..The draft RTS reiterate that less onerous obligations apply for administrators of non-significant benchmarks; however, they do not appear to provide any further guidance on how this applies. Please see full Alert below for more information. (See Article)

INTRODUCTION - The current situation is fast-moving. The information below reflects our understanding of forbearance measures and other reliefs related to the COVID-19 pandemic as at 2 April 2020. In many cases the legislation, guidance or other materials relating to these measures is limited in detail. This means that in some instances questions remain about the scope of some of these measures. Please see full Publication below for more information. (See Article)

Europe has been hit hard by the spread of the coronavirus (COVID-19). Although Italy and Spain have reported a particularly high number of cases, no country is spared. To counter the further spread of COVID-19 and ensure that health services are not overwhelmed by the situation, Member States of the European Union (EU) have enacted radical measures, which will have a strong impact on businesses. (See Article)

The European Medical Agency’s Committee for Medicinal Products for Human Use (CHMP) recently reported biosimilar updates from its March 2020 meeting. At the meeting, Mylan and Lupin’s NEPEXTO (etanercept) received a positive opinion for the treatment of rheumatoid arthritis, juvenile idiopathic arthritis, juvenile idiopathic arthritis, psoriatic arthritis, axial spondyloarthritis (ankylosing spondylitis, non-radiographic axial spondyloarthritis), plaque psoriasis and paediatric plaque psoriasis. (See Article)

Following the outbreak of COVID-19 and its development into a global pandemic, organisations have been implementing exceptional measures to safeguard employees, customers and others against the health threat that is being posed.1 Organisations are also endeavouring to maintain 'business-as-usual' to the extent allowed by their particular circumstances. (See Article)

The spread of COVID-19 is causing Europe to experience one of the greatest health crises in decades, the consequences of which are still unpredictable. Faced with this unprecedented situation, the governments of different European countries have been forced to issue a series of legislative measures to alleviate the social, economic, administrative, and health effects of the COVID-19 crisis. These circumstances have, among effects on other industry sectors, a significant impact on the pharmaceutical and medical devices' industries. One matter of importance for the public and for manufacturers is the supply of critical products and potential conversion of production. Please see full Publication below for more information. (See Article)

The coronavirus pandemic has affected workplaces across the globe. Governments are scrambling to adopt measures to help stem the spread of the virus, while recognizing an employer’s need to stay in business. (See Article)

The European Commission (EC) on March 25, 2020 issued new guidance on foreign investment screening in response to the COVID-19 emergency (the “Guidance”). The Guidance, which addresses the now 27 EU Member States and relates in particular (but which is “by no means limited”) to health care-related industries, sets out a threefold action plan to tackle COVID-19-related foreign investment risk... (See Article)

The European Commission on March 25 issued guidelines addressed to its member states outlining an EU-wide approach for foreign direct investment screening. The guidelines seek to protect EU companies as well as critical assets that are essential for the EU’s security and public order, particularly in the areas of health, medical research, and biotechnology. (See Article)

The new guidance encourages EU Member States to make full use of existing, and adopt new, investment screening mechanisms. Investments in the health care sector and related industries are likely to face increased scrutiny and may be blocked or subjected to conditions.  The European Commission has issued new guidance addressing foreign investment screening in the context of the current coronavirus (COVID-19) crisis... (See Article)

Antitrust and Competition - The Court of Justice of the EU Upholds the Commission’s Powers to Impose High Fines on Companies that “Jump the Gun” - On March 4, 2020, the Court of Justice of the EU (“CJEU”) dismissed the appeal from a Norwegian salmon farmer, thereby confirming a European Commission gun jumping decision in the context of the salmon farmer’s acquisition of his competitor. (See Article)

With COVID-19 officially declared a pandemic by the World Health Organization, European governments and companies, facing unprecedented challenges, are encouraging their employees to work from home, protect their health and support government measures. Through these difficult times, it remains extremely important for European companies to take swift action, follow up on their projects on a daily basis and to ensure that data security and privacy protection measures are in place and are strictly monitored by professionals at all times. (See Article)

In light of the Covid-19 coronavirus pandemic, the vast majority of European countries are implementing various measures concerning insolvency proceedings, restructurings and rights of creditors generally. At the same time, accessibility of insolvency courts and practitioners is becoming limited. Please see full publication below for more information. (See Article)

Within the first week of the confinement measures in Europe, the Hellenic Competition Commission (HCC) was one of the first EU competition authorities to announce a more lenient approach towards certain vertical agreements, as a way to address severe shortages caused in the market by the COVID-19 outbreak. (See Article)

The five-year plan for the 2019-2024 European Commission (EC) is now underway. In a time of change, a deliberate consideration of the rules enshrined in the EU Merger Regulation (EUMR) seems to be the focus of much attention. Indeed, increasing weight is being given to a more careful implementation of the merger control regime to ensure that it achieves its overarching goal of preserving competitive market structures and that consumers fully enjoy the benefits of competition. Originally published in Financier Worldwide - April 2020. Please see full Publication below for more information. (See Article)

The European Commission today announced that it is preparing a proposal to postpone the entry into application of the new Medical Devices Regulation (MDR). The proposed postponement would be for one year. (See Article)

On 28 March 2020, the Business Secretary, Alok Sharma, announced new insolvency measures to support companies under pressure as a result of the COVID-19 outbreak. In summary, the government is due to: (i) implement the landmark changes to the corporate insolvency regime that were announced in August 2018 (as discussed in Weil’s European Restructuring Watch update on 7 September 2018); and (ii) temporarily and retrospectively suspend wrongful trading provisions for three months. (See Article)

The Covid-19 coronavirus is creating a need for organisations to process personal data, for a variety of specific purposes (including managing and protecting their workforce, customers and the public). Many of these processing activities are not part of “business as usual”, so established policies and protocols may not exist. Organisations face a challenge to ensure that this processing complies with data protection and privacy laws, particularly given the urgency behind some of these processing activities and other pressures, which means there is limited time available for consideration and consultation. (See Article)

IFA reform: proposals for agents - The FIFA Council and the Football Stakeholders Committee unanimously adopted a series of reforms with respect to football player agents in order to "protect the integrity of football and prevent abuses." FIFA asserts that these reform proposals were the outcome of a long consultation process between relevant stakeholders – including players, clubs, leagues and member associations – as well as the player agents themselves.... (See Article)

In the week following the adoption of the Temporary Framework for EU State aid measures to counter the economic impact of the COVID-19 pandemic on March 19, 2020,1 the European Commission (the ‘EC’) has approved twenty-one State aid schemes notified by EU Member States and the United Kingdom (‘the UK’), expecting this “just to be the beginning,”2 of what may be necessary to remedy the economic effects of the Coronavirus outbreak. The background on the EC’s initial response to the outbreak and its adoption of the Temporary Framework were previously summarized in our prior client alert. (See Article)

In April 2017, the EU has revised the regulatory framework for medical devices and in vitro medical devices in the EU. The package, which includes regulation (EU) 2017/745 on medical devices (Medical Device Regulation or MDR) and regulation (EU) 2017/746 on in vitro diagnostic medical devices (IV MDR), became effective in May 2017. Additional implementation acts have been and are still being adopted in order to specify the requirements of the MDR and IV MDR. (See Article)

On 11 March 2020 ESMA has issued a public statement in relation to the impact of COVID-19 outbreak on financial markets in the European Union. As a result, issuers will have to take action in order to cope with the current epidemiological emergency. (See Article)

In response to the global outbreak of the COVID-19 virus, the EU and various member states have taken measures to ensure continuity of supply of personal protective equipment (PPE) and address shortages of healthcare equipment. (See Article)

On 16 March 2020, the European Securities and Markets Authority (ESMA) issued a decision pursuant to Article 28(1)(a) of Regulation (EU) No 236/2012 of the European Parliament and of the Council of 14 March 2012 on short selling and certain aspects of credit default swaps to reduce the threshold for the notification of net short positions in shares admitted to trading on a regulated market temporarily to 0.1 per cent. (See Article)

On 25 March 2020, the Luxembourg Government adopted a draft bill introducing new defensive measures denying the tax deduction of interest and royalty payments made to a related entity located in a blacklisted jurisdiction. This draft bill comes at a time when the Cayman Islands was added in February to the EU list of non-cooperative jurisdictions for tax purposes. These upcoming measures could have a significant impact on holding structures as well as on private investment funds. What these measures will look like remain to be confirmed as the draft bill remains to be published. (See Article)

ESMA, BaFin, and FCA have provided guidelines on firms’ obligation to record client telephone calls. Remote working raises uncertainties in various regulated areas as it dramatically changes institutions’ day-to-day business. In particular, institutions are confronted with practical and technical difficulties regarding client-related requirements such as the obligation to tape telephone conversations with clients — which employees working remotely may not be able to do because they lack access to the necessary technical equipment. (See Article)

On March 25, the European Commission (Commission) issued new Guidelines for screening foreign direct investment (FDI) in companies and critical assets located in the European Union (EU), including those operating in the fields of health, medical research, biotechnology and infrastructures deemed essential for security and public order. The Guidelines offer guidance to be applied within the context of the recently-adopted framework for EU screening and review of FDI (FDI Screening Regulations). (See Article)