Law on business organizations

On March 1st 2018, Academy of Justice within its Continuous Training Program organized the training on Law on Business Organizations.

Purpose of this training was to enhance the judge’s knowledge on business organizations, structure, role and their importance in the Republic of Kosovo.

First part of the training elaborated on ways of organization, capital structure, the rights and obligations of owners, officials of business organizations, their representatives and of third parties. While in the second part it was continued with legal procedures and their application for protection of the rights deriving from business associations.

It was further elaborated on professional expertise of judges in this area, how to conduct judicial practice compliant with international and European standards; presented experiences and best practices in regional countries and forms of efficient application of international instruments that regulate this field.  Focus of this training was also analysis of main concepts and principles of business organizations (BO), problems and previous and actual practices of exercising business in Kosovo, development of business organizations in Europe, judicial resolution of the shareholders disputes and of principal structures of corporates, as well as the tax basis for business organizations in Kosovo.

This training elaborated particularly about the Law on Business Organizations, which foresees instructions for an organization that wants to exercise business in Kosovo, it promotes a legal framework for foreign investors who aim to enter the Kosovo’s market, as well as for local businesses who aspire growth of their businesses, it is based on the Austrian- German model and provides several basic forms of business organizations with which foreign investor should familiarize with, but over time this law will need to amend and complement in order to adjust to the level of enhancement of the business and legal community in Kosovo.

In this training, participants discussed about types of business organizations that can develop business activities, terms for registering the business, legal structure of business organizations, as well as the rights and obligations of owners/ shareholders, managers, directors, legal representatives and of the third parties, legal provisions pertaining to establishment, functioning and regular dissolving of BO’s, encouraging entrepreneurship through limitation of the investor’s obligations and attracting foreign capital.

This training used theoretical presentations partially, followed by concrete cases, discussions and prepared tasks for application of business structure concepts in practical situations on principles and main rules that relate to business organizations.

Beneficiaries of this training were judges of the Commercial Departments within Basic Court of Prishtina and in the Appeals Court, as well as judges and legal associates of Civil Division of both the Basic instances and of the Appeals Court.