GOVERNMENT-OWNED COMPANIES
Opposing views on political influence
Few people would argue that the rules issued by the state (government) must also be correctly and strictly observed by that same state. It cannot be well conceived that, for example, the police and Public Prosecutor’s Office (as instruments of the state) should be allowed to violate the law with impunity.
Though there may be very different opinions about the nature and the role of the state (particularly from a philosophical and jurisprudential viewpoint), here we address the question of how we should consider government-owned companies, and in particular, what level of influence the government …
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THE INCORPORATION OF A CURACAO LIMITED LIABILITY COMPANY
Incorporating an NV or BV is not a hassle
The act on corporate law (Book 2 Curaçao Civil Code) governs the NV (‘public limited liability company’) and BV (‘private limited liability company’). These companies can be used for group finance or holding activities, (international) joint-ventures, funds, structured finance, as a Curaçao Trust and for “plain-vanilla” (local) activities.
A notarial deed is required for the formation of an NV or BV and for any amendment to articles of association (a.k.a. articles of incorporation). Formation can however, be very quick (within one or two days if necessary) and does not require many …
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THE CURACAO TRUST BECOMES MORE AND MORE POPULAR
Curaçao Trust could be used for asset segregation purposes
According to Professor of Law David Hayton, an Anglo-Saxon trust arises from the settlor’s transfer of title to property to another person, intending that person to be a trustee-manager of it for the benefit of beneficiaries or for a charitable or other permitted purpose. Trusts are founded on a transfer of title to property: contracts are not. Professor Hayton:
Such a contractual concept inevitably leads – or rather misleads – civil lawyers to consider that the Anglo-Saxon trust is simply a glorified form of contract between the settlor …
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DUTCH CARIBBEAN BANKS AND REGULATORY ISSUES
A bank has less freedom than an ordinary legal entity
What would be the requirements, from a regulatory point of view, if a Curaçao or St. Maarten bank wished to sell its entire business or a substantial part thereof? Would it require approval from the Central Bank of Curaçao and St. Maarten (‘Centrale Bank van Curaçao en St. Maarten’)?
Generally, if the activity at a bank is characterized as some form of financial reorganization, for example, the prior approval of the Central Bank is required. The bank is also obliged to immediately inform the Central Bank in writing of any …
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LAW FIRMS SEE ALTERNATIVE FEE ARRANGEMENTS AS HERE TO STAY
“I don’t think the billable hour is dead, but I think it has company”
According to an article by Kim Lyons of the Pittsburgh Post-Gazette, “the billable hour has long been the mainstay of law firms and their pay structure. But in recent years, firms have had to become more creative in how they get paid, as they compete for business with ever more cost-conscious companies.
Enter the “alternative fee arrangement.” Whether it’s a flat fee, a capped fee, a blended rate or some other variety, alternative fee arrangements are giving the billable hour a run for its money.”
FINAL POSTING OF 2013
Don’t look back for very long
This will be my final posting for 2013. What a year. It feels as if the whole world has changed more rapidly than ever before and not only as a result of the economic turmoil. The year 2014 is about to begin and it won’t be an easy year. Many will suffer from the crisis. There still will be tensions between countries and populations. There still will be war. However new faces and new voices in the political arena may change things for the better. Let’s hope so.
Our focus remains on client satisfaction …
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ADVOCATEN EN DECLARABELE UREN
Wat is daar eigenlijk mis mee?
Overal lees je dat advocatenkantoren moeten veranderen. Ze zijn te conservatief. Ze houden vast aan het verleden en zijn alles behalve innovatief. Naarmate het economisch slechter gaat wordt de roep om verandering steeds sterker.
Met name het systeem van ‘uurtje factuurtje’ moet het ontgelden. Advocaten wordt verweten dat zij tijdschrijven met een vork. Dat zij niet efficiënt werken. Dat zij te duur zijn. Het syteem zou verkeerde prikkels meebrengen, mede omdat de controle op het daadwerkelijke aantal nuttig besteedde uren niet goed mogelijk is.
Wie deze kritiek tot zich laat doordringen kan niet anders …
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LAWYERS AND BILLABLE HOURS
What is wrong with this exactly?
You read everywhere that law firms (lawyers, advocates, attorneys) have to change. Lawyers are too conservative. They hold on to the past and are anything but innovative. As the economic climate deteriorates the call for change becomes increasingly stronger.
The system of “hourly rate billing” in particular has to take the rap. Lawyers are reproached for billing hours with a fork, not working efficiently and being too expensive. The system apparently has the wrong incentives, partly because it is difficult to check the actual number of hours spent efficiently.
Anyone who becomes aware of …
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AVIATION – OPEN SKIES AGREEMENT WITH BRAZIL
Brazilian airlines are looking to use Curaçao as a hub to the United States of America
According to various news publications Curaçao entered into a bilateral air services agreement, on an open skies basis, with Brazil. The bilateral air services agreement makes it possible for airlines of both countries to start air services between Curaçao and Brazil. The agreement applies both to carriage of passengers and carriage of cargo.
Two years ago a Memorandum of Understanding (MoU) was signed between Brazil and Curaçao to enter into a bilateral air services agreement. Pursuant to the MoU, Minister Earl Balborda signed the …
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THE COURT OF LAST RESORT
Curaçao court as court of last resort for civil matters
An attachment on assets located in Curaçao generally establishes jurisdiction over the cause of action for which the attachment is made, also if neither of the parties involved are domiciled in Curaçao.
According to Section 767 of the Curaçao Code of Civil Procedure, the Curaçao court is competent to hear a case on the merits (i.e. has (international) jurisdiction) if there are no other means of obtaining an enforceable order in Curaçao (first condition).
This condition will not be met if, for instance, in respect of a claim an arbitrator …
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150 JURIDISCHE PUBLICATIES
Een persoonlijke mijlpaal
Afgelopen donderdag was het dan zo ver: mijn 150e juridische publicatie zag het levenslicht. Het gaat om mijn bijdrage aan het Liber Amicorum ‘Christels Koers’ dat toen werd aangeboden aan prof.mr. drs. C.M. Grundmann-van de Krol: “Openbaarmaking door de financiële toezichthouders”. De volledige lijst met publicaties is hier te vinden.
Nummer 151 is overigens al geschreven en is in het komende nummer van het Caribisch Juristenblad te vinden. De meer dan 850 stukken die op deze weblog staan heb ik uiteraard niet meegeteld…
Karel Frielink Attorney (Lawyer) / Partner
(2 December 2013)
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