Dentons has advised TC Capital on its EUR 20 million acquisition of a grain and oilseed farm located in the Romanian town of Buzias from France's Gespie SAS.
CMS has advised AFI Europe, a property investment and development group in Romania, on its share acquisition of six companies owning four Class A office projects in Romania from NEPI Rockcastle. Herbert Smith Freehills and Reff & Associates – the Romanian member firm of Deloitte Legal – advised NEPI.
According to the 2019 CEE By the Numbers issue of the CEE Legal Matters magazine, almost two third of all lawyers and almost half of all partners at ranked Romanian law firms are women. As Romania’s population, economy, and (therefore) legal market are much larger than its chief competitors in both categories, its achievements in this area are particularly significant. Romania’s most prominent female managing partners insist that, indeed, sexism, in the Romanian legal industry, is essentially a non-factor.
The Romanian labor market before the COVID-19 pandemic was very competitive. On the one hand, foreign companies closely monitored the opportunities of a developing market and local labor force, while on the other hand, the tradition of people traveling abroad in pursuit of happiness and the flood of young and bright minds out of the country had spread enough to make recruitment a difficult process and to significantly affect the labor market in general.
The decade that just ended brought significant changes to the banking landscape in Romania. The banks were pushed to restructure their loan portfolios, consumer litigations increased exponentially, the cost of business increased, and Fintech companies started (although timidly) to take a slice of the pie. Populist legislation was enacted to protect consumers years after banking services were contracted. And a wave of acquisitions forced by the increased costs led to changing rankings at the top of the banking sector.
The pandemic caused by the new coronavirus (SARS-CoV-2) has profoundly challenged all justice systems, including Romania’s. The country’s judicial bodies had to quickly assimilate and implement numerous special measures instituted as a result of the state of emergency, followed by the state of alert that was declared at a national level.
On June 18, 2020, the President of Romania promulgated a law amending the Labor Code, two years after the country adopted legislation increasing the sanctions for employers who do not comply with the legal requirements for overtime work. According to the new amendments, the fine for non-compliance in such cases is between EUR 310-620. The amended provisions entered into force on June 21st 2020.
Regardless whether you are a new start-up hoping to become the next “unicorn” or a renowned international corporation, Romania’s ever-changing business and legal environment will impose various issues and hurdles upon your organization’s compliance and ethics culture. From BP’s USD 20.8 billion fine for the Deepwater Horizon accident, to Volkswagen’s USD 14.7 billion fine for false diesel emissions, to Airbus’ USD 4 billion fine for bribery and corruption, keeping a company on the right side of the law and reducing employee malfeasance is always a challenge.
The Romanian Government has recently brought important amendments to the energy regulatory framework by way of the new Government Emergency Ordinance no. 74/2020, effective May 19, 2020. According to the new regulations, new energy producing facilities, both renewable and conventional, commissioned after June 1, 2020, would be allowed to sell their output outside the current centralized energy market, at negotiated prices, with the observance of competitive rules. The amendment is intended as an exception to the general principle set out by Energy Law no. 123/2012 that transactions with electricity are carried out on the competitive market, in a transparent, public, centralized, and non-discriminatory manner.