As we navigate through the remainder of 2023 and look ahead to 2024, there are several changes on the horizon in the realm of company law. These upcoming laws will bring about transformative shifts in areas such as cooperative societies, transaction notifications, partnership reforms, business name registration, and gender balance in boardrooms.
In A Topical Company Law Update, Sinead Gortland covers the latest in updates to Company Law, CRO and RBO and how it has and will impact accountants over the next few years.
One of the most talked-about bills is the Cooperative Societies Bill, which promises to be the biggest transformation to cooperative societies since the 19th century. The bill aims to modernise corporate governance, accounting compliance, and reduce the minimum number of founding members from seven to three. It also introduces provisions for audit exemptions for smaller co-ops and virtual meetings, making it more accessible and efficient.
Another key change to watch out for is the mandatory notification for certain transactions over a specific value. This requirement, part of the Screening of Third Country Transaction Bill, aims to prevent nefarious actors from exploiting these transactions. This bill aligns with EU regulation 2019/452 and is expected to move quickly through legislative stages due to its importance.
The Limited Partnership Act is also set for a significant reform, the first since 1907. The Miscellaneous Provisions, Transparency and Regulations of Limited Partnerships and Business Names Bill 2023 aims to strengthen the framework around partnerships and overhaul the Registration of Business Names Act 1963. This reform will enforce stricter regulations for business names, similar to those in place for company names under the Companies Act 2014.
In an effort to promote gender balance in corporate leadership, the Irish Corporate Governance Gender Balance Bill proposes to increase the number of female board members over a three-year period from enactment. By year three, companies will be required to have 40% of their board seats occupied by women. This bill also introduces an annual reporting obligation for companies to disclose their compliance status.
As we move towards 2024, it's crucial to stay informed about these upcoming changes and understand how they may impact your business operations. These reforms aim to modernize company law, enhance transparency, and promote inclusivity in corporate governance. As always, it's advisable to seek professional advice to ensure your business is prepared for these changes and remains compliant with the evolving legal landscape.
To watch the full session, please click here. Included in the session:
- CRO Updates for 2023
- Preparing your annual returns for the new PPSN requirements
- Recent Access Changes to RBO
- Review of provisions included in public consultation to enhance the Companies Act 2014
- What to look out for in Company law for the remainder of 2023 and early 2024
The contents of this article are meant as a guide only and are not a substitute for professional advice. The author/s accept no responsibility for any action taken, or refrained from, as a result of the material contained in this document. Specific advice should be obtained before acting or refraining from acting, in connection with the matters dealt with in this article.
