The phenomenon of personnel agencies Generally, Labour Relations laws assume the interaction of two parties, an employer and an employee. The employee offers his services, for pay, to an employer, who determines the working conditions and ensures discipline. This is a bipartite relationship. However, when a business entrusts the management of its human resources to a personnel agency, there is a tripartite relationship ...
Under the Rules Governing Offshore Funds of August 2005, private placement of offshore funds may only be offered to: a) banks, bills companies, securities companies, trust companies, insurance companies, financial holding companies or other legal entities or organisation approved by the Taiwan Financial Supervisory Commission (FSC); b) not more than 35 “private investors” ...
The Law Reform Commission (Commission) published a report on 25 October 2005 recommending proposals to reform the doctrine of privity of contract in Hong Kong. The aim of the reform is to allow a person who is not a party to a contract to enforce the contract if that was the intent of the contracting parties. Under the existing doctrine of privity of contract, a person cannot acquire and enforce rights under a contract to which he is not a party ...
Investors, investment managers and others with direct or attributed interests of 5% or more of any Hong Kong listed company are subject to Hong Kong’s substantial shareholder disclosure regime. Inadvertent breaches of the regime are common, largely because of its complexity and investors’ misapprehensions of the requirements. A review of enforcement actions over the last year indicates an increasingly aggressive approach by the Hong Kong Securities and Futures Commission (SFC) ...
An exemption from “acting in concert” is available under the Hong Kong Codes on Takeovers and Mergers and Share Repurchases (Takeovers Code) to entities within a large financial group which manage investment accounts on a discretionary basis and which maintain acceptable levels of segregation regarding confidential information through Chinese Walls ...
The UK's Financial Services Authority (FSA) has issued a Feedback Statement on its discussion paper DP05/4 "Hedge funds: A discussion of risk and regulatory engagement" and has urged firms to focus on the risks posed by side letters "which will remain an area of supervisory focus". Side letters have become a common feature for institutional investors investing in hedge funds with the result that such investors receive preferential treatment and more information than other investors ...
At its Singapore 2006 AGM, ISDA announced the publication of a new set of definitions – the ISDA 2006 Fund Derivative Definitions (Fund Definitions). The Fund Definitions are intended to provide basis terminology for use in confirmations of derivatives transactions linked to interests in various types of pooled investment vehicles, such as hedge funds and mutual funds, for which a liquid secondary market may not exist ...
From 1 October 2006, new legislation comes into effect intended to combat age discrimination. During a recent series of seminars, commercial law firm Shepherd and Wedderburn carried out a survey of delegates to understand employers' concerns and see what efforts they are making to take the new law on board. More than one in four delegates claimed they themselves intended to work past the anticipated default retirement age of 65 while a further 15% were unsure ...
The Cabinet Office's Better Regulation Executive (BRE) is currently undertaking a review of penalties for businesses that fall foul of the law and business should ensure their views are heard. This spring, a consultation paper will be released which will be the final opportunity for stakeholders and interested parties to contribute to the review before it makes its recommendations to the Government in late 2006 ...
March of 2006 will make a mark in history as the date in which the people of Bolivia have manifested, through the National Congress, their irrevocable and unequivocal decision of modifying the political structure of the Republic by simultaneously calling to a Constituent Assembly, with the purpose of designing a new Political Constitution, and to a binding referendum on departmental autonomies. Six presidents have passed since the beginning of the new millennium ...
On St Patrick’s Day the Irish Revenue Commissioners issued a communication, through CREST, in relation to CFDs. In the communication the Revenue said they believe the underlying hedging transaction behind a CFD, where the broker acquires Irish shares, may not fall within the relevant stamp duty exemptions that the brokers are claiming. If the Revenue are correct the broker has a 1% stamp duty liability on this hedging transaction ...
Scotland's new procurement regulations came into force on 31 January 2006, meaning the country is covered by a separate set of procurement rules than the rest of the UK. This is a major change from the previous regime. The Public Contracts (Scotland) Regulations and the Utilities Contracts (Scotland) Regulations, both 2006, were introduced to ensure the procurement regime in Scotland complies with the European Union's new directives on procurement in the public and utilities sectors ...
This paper appears in the March 24, 2006 issue of The Lawyers Weekly, published by LexisNexis Canada Inc. Over the past few years, courts in Canada have faced the apparent conflict between competing statutory mandates with respect to class proceedings and arbitrations. In Ruddell v. BC Rail Ltd., 2005 BCSC 1504, Mr. Justice Holmes of the British Columbia Supreme Court reviewed this conflict in the context of pension litigation ...
The Court of Final Appeal made a landmark ruling at the end of February on an unprecedented claim for holiday pay or annual leave pay based on commission in Lisbeth Enterprises Limited v Mandy Luk. The Court concluded that, apart from the contractual commission which accrued and calculated on a daily basis in amount varying from day to day, no commission is to be included in the calculation of holiday pay and annual leave pay ...
Doctors working in public hospitals claimed that, in breach of their employment contracts as well as the Employment Ordinance, for many years the Hospital Authority had required them to work long hours without proper compensation. The doctors in this latest round of confrontation with the HA successfully claimed compensation for "rest days" and "holidays" for which they had been deprived but lost their claim on compensation for "overtime" worked ...
Introduction Since June 1, 2004, the Labour Standards Act (hereinafter the “L.S.A.”) requires employers to provide a work environment free from psychological harassment. Thus, employers must, as a first step, take reasonable measures to prevent psychological harassment and then, whenever they become aware of such behaviour, put a stop to it. These duties imposed on employers are obligations “of means” as opposed to obligations “of result” ...
China presents enormous opportunities for the wealth management industry. Since the opening up of China’s banking and other financial industries to foreign investments, foreign banks, securities companies, insurers and fund management companies have sought to establish presence in this market through the setting up of representative offices, branches, foreign direct investments and joint venture companies ...
November and December 2005 saw the Hong Kong real estate investment trust (“REIT”) market burst into life, with the listing of three REITs on the Stock Exchange of Hong Kong – The Link REIT (Hong Kong retail and car parks), Prosperity REIT (Hong Kong commercial) and GZI REIT (office buildings in Guangdong, PRC) ...
In 2006, the SFC plans to conduct another investigation into licensed investment advisers. This follows a report issued in February 2005, in which the SFC noted industry practices that posed “serious regulatory concerns”. It is timely, then, for investment advisers to review their adherence to the standards of conduct expected of them by the SFC. We set out below some of the practices that investment advisers should adopt to ensure regulatory compliance ...
The China Securities Regulatory Commission (“CSRC”) and State Administration of Foreign Exchange (“SAFE”) have, in recent months, issued consultation drafts of proposed amendments to the two major regulations governing Qualified Foreign Institutional Investors (“QFIIs”): and . According to the draft regulations, certain amendments are to be implemented. Under the existing regulations, QFIIs are subject to relatively long investment lock-up periods ...
As it is considered as of general interest, we would like to mention that on December 30, 2005, the Federal Official Gazette published an executive order amending Article 117 and Article 118 of the Financial Institutions Law ...
In order to speed up the application in Mexico of the concept of “immunity” proposed in a recent bill containing amendments to the Federal Economic Competition Law (the “Law”), a full session of the Commission, on January 26, 2006, approved the “Internal Policies to Grant Immunity to Those Cooperating in Investigations of Monopolistic Practices.” The policy will work as follows: 1 ...
In April 2005 a new Disability Discrimination Act was passed by Westminster. The Act extends existing non-discrimination legislation, primarily the Disability Discrimination Act 1995. While some provisions of the Act came into force in December 2005, many others will be coming into force over the course of 2006. It is essential that businesses are aware of their new responsibilities under the Act and prepare for its implementation ...
A 100% Quebec Parental Insurance Plan A new Quebec Parental Insurance Plan (QPIP) came into force on January 1, 2006. This plan provides for payment of benefits to all workers eligible for the plan who take a maternity leave, parental leave, paternity leave or adoption leave. This plan replaces the federal employment insurance plan. Beginning in 1996, Quebec informed Ottawa that it wanted to implement its own parental insurance plan ...
