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The Cross-Border Conversion €“ A Possible Solution For The Mobility Of Companies In European Union

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  • Charlotte Ene

    (Department of Law, Bucharest University of Economic Law, Romania)

Abstract

For decades, the institutions of European Union have strived a varied range of efforts to bring the treaty provisions regarding the freedom of establishment of the companies within the single market into operation. In the view of the Court of Justice of the European Union, developed in several decisions issued from the Centros until the Polbud case, the freedom of establishment for companies includes, inter alia, the right to cross-border conversions, consisting in the possibility of a company having the nationality of a Member State to convert itself into a company governed by the legislation of the other Member State without losing its legal personality. Recently, a very welcomed piece of legislation, the Directive 2019/2121 on cross-border conversions, mergers and divisions - as part of the EU company law package, was adopted in order to stimulate cross-border mobility of the companies, and, in the same time, to provide a coherent framework for the complex cross-border operations (meaning the cross-border conversions, mergers and divisions). The question is if this directive will provide sufficient protection for the multiple stakeholder of the companies.

Suggested Citation

  • Charlotte Ene, 2020. "The Cross-Border Conversion €“ A Possible Solution For The Mobility Of Companies In European Union," Perspectives of Law and Public Administration, Societatea de Stiinte Juridice si Administrative (Society of Juridical and Administrative Sciences), vol. 9(1), pages 54-57, May.
    • Handle: RePEc:sja:journl:v:9:y:2020:i:1:p:54-57
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    References listed on IDEAS

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    1. Cornelia LEFTER & Ovidiu Ioan DUMITRU, 2011. "Dissolution of the Commercial Companies due to the Passing of Time Established as a Duration of the Company – Theoretical and Practical Aspects," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(11(564)), pages 59-66, November.
    2. Ovidiu Ioan Dumitru, 2017. "The European company, perspectives after Brexit," Juridical Tribune - Review of Comparative and International Law, Bucharest Academy of Economic Studies, vol. 7(2), pages 134-146, December.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Dumitru Ovidiu Ioan, 2021. "Transfer of seat within European Union. The latest developments on cross-border conversions, mergers and divisions of companies," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 15(1), pages 917-929, December.

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    More about this item

    Keywords

    EU Company Law; cross-border conversion; freedom of establishment; cross-border mobility of companies; the case C-106/16 Polbud; the Directive (EU) 2019/2121.;
    All these keywords.

    JEL classification:

    • K22 - Law and Economics - - Regulation and Business Law - - - Business and Securities Law
    • K33 - Law and Economics - - Other Substantive Areas of Law - - - International Law

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