Archive 2016

Anti-competitive practices: victims can act before civil courts
15/12/2016

On 7 December 2016, competition law in Luxembourg was considerably strengthened by the entry into force of the law implementing EU Directive 2014/104, which is aimed at assisting victims of anti-competitive practices (cartel or concerted practice, agreement, other anti-competitive arrangement, abuse of a dominant position) in bringing actions for damages before the civil courts. This new law introduces several important provisions which will help victims to more easily establish the fault, i.e. the illegality of the conduct, of an undertaking which has infringed the rules of competition and quantify the harm suffered

PRIIPS
15/12/2016

On 9 November 2016, the EU Commission confirmed its agreement on the postponement of the application of the PRIIPs Regulation (i.e. Regulation 1286/2014 on key information documents ("KID") for packaged retail and insurance-based investment products ("PRIIPs")). According to the legislative proposal, the entities falling within the scope of the PRIIPs Regulation will have up to 1 January 2018 ("Deadline") to produce a PRIIPs KID.

Perfection of the New Market Abuse Regime in Luxembourg
14/12/2016

Today, the Luxembourg Parliament enacted the law (the “New Market Abuse Law”) implementing Directive 2014/57/EU of the European Parliament and of the Council of 16 April 2014 on criminal sanctions for market abuse (market abuse directive), also known as the “Market Abuse Criminal Sanctions Directive” (“Directive 2014/57/EU”) and Commission Implementing Directive (EU) 2015/2392 of 17 December 2015 on Regulation (EU) No 596/2014 of the European Parliament and of the Council as regards reporting to competent authorities of actual or potential infringements of that Regulation (“Directive (EU) 2015/2392”).

La clause de non-concurrence en droit luxembourgeois
12/12/2016

En matière de concurrence, y a-t-il une distinction à opérer selon que le contrat de travail a pris fin ou non ? La distinction à opérer est la suivante : bien qu’un contrat de travail ne contienne pas toujours expressément de clause de non-concurrence, il est de principe que les contrats doivent être exécutés de bonne foi aux termes de l’article 1134 du code civil.

La résiliation pour faute grave de l'employeur n'empêche pas le paiement des indemnités de préavis et de départ
07/12/2016

A l’occasion de deux arrêts rendus le 8 juillet 2016, la Cour constitutionnelle a été saisi de deux questions préjudicielles relatives au versement de diverses indemnités de rupture du contrat de travail à l’occasion d’une résiliation aux torts de l’employeur. En l’espèce, un salarié ayant démissionné de son emploi en raison de la faute grave de son employeur a saisi la juridiction du travail d’une demande en indemnisation et a saisi la Cour constitutionnelle des questions préjudicielles suivantes

Technologies financières: protégez vos innovations !
06/12/2016

Les technologies financières sont des actifs intellectuels qui doivent être protégés contre les concurrents. Cette protection, qui se concrétise par la passation de contrats de licence de droits intellectuels, voire par l’initiation d’actions en justice, permet d’encadrer les usages que les concurrents feront de vos technologies et d’empêcher ces derniers de s’approprier vos innovations. Chacun des éléments constitutifs d’une innovation financière – logiciel, plateforme en ligne, base de données, invention – peut être couvert par des droits de propriété intellectuelle, sous certaines conditions. Grâce à quelques reflexes, il est possible d’éviter que vos concurrents n’empiètent sur vos droits et ne tirent indûment profit de votre réussite.

OECD adopts multilateral convention to implement BEPS measures
06/12/2016

On 24 November 2016, the Organisation for Economic Cooperation and Development (“OECD”) adopted the multilateral convention composed of the multilateral instrument (“MLI”) and explanatory statements (“ES”).

The Luxembourg Double Tax Treaties Network
06/12/2016

Situated at the crossroad of Europe, the Grand-Duchy of Luxembourg is based on a dynamic and open economy which actively promotes the development of cross border trade and investments. Its major role in matter of international trade in the sectors of banking and finance, investment funds and holding companies has  for a consequence that a strong network of double tax treaties has been developed over the years.

EU Commission proposes legislation on modernising VAT for cross-border e-commerce
05/12/2016

On 1 December 2016, the European Commission (“the Commission”) proposed changes to the EU VAT Directive for cross-border “B2C e-commerce”. The proposals aim at minimizing burdens arising from applying different VAT regimes on cross border online sales and to reduce VAT compliance costs. If adopted, the proposals will have a great impact for businesses engaged in online sales. The proposals will now be submitted to the European Parliament for consultation and to the Council for adoption. The proposal for VAT rates on e-publications can enter into force immediately upon approval by the Council. Other elements of the proposals are expected to enter into force in 2018 and 2021.

Luxembourg VAT treatment of directors of companies
02/12/2016

Circular N° 781 (the “Circular”) regarding the VAT status of directors of companies as well as the VAT treatment of director’s fees was finally issued by the VAT Authorities on September 30, 2016.

The Circular specifies that the activity of company director is an economic activity, treated as a supply of services for VAT purposes. This activity is thus within the scope of Luxembourg VAT. As a consequence, the directors are considered as taxable persons for Luxembourg VAT purposes.