guide on doing business in italy - bacciardi and partners

GUIDE ON DOING BUSINESS IN ITALYAuthor: Lorenzo Bacciardi, LL.M.

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DOING BUSINESS IN ITALY

INDEX

PART I: THE ITALIAN ECONOMIC CLIMATE page 4

PART II: DOING BUSINESS IN ITALY WITHOUT A LEGAL PRESENCE IN THE COUNTRY page 7

2.1 Making direct sales without a written supply agreement - general terms page 7

2.2 Making direct sales with a written supply agreement page 10

2.3 Making sales using commercial intermediaries page 14

PART III: DOING BUSINESS IN ITALY WITH A LEGAL PRESENCE IN THE COUNTRY page 22

3.1 DoingbusinessinItalythrougharepresentativeoffice orabranchofficeoftheforeignparentcompany page22

3.2 Doing business in Italy through a subsidiary oftheforeignparentcompany page27

PART IV: REAL ESTATE page 35

PART V: EMPLOYMENT page 41

PART VI: TAXATION page 46

6.1 Corporate income tax page 46

6.2 Individual income tax page 52

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PART I: THE ITALIAN ECONOMIC CLIMATE

1.1 What are the most relevant economic data to consider while investing in Italy? WithaGDPofover€1.7trillionandapopulationofover60million,Italyistheworld’s 9th largest economy.

Italy’scontroloverpublicfinancehasbeenamongthemostsolidintheEurozoneinthe last7years.Since2012thedeficithasbeenconsistentlybelowthe3%ceiling,andItalyhadthehighestprimarysurplusonaverage(1.1%)duringthe2009-2016 period.

Italy isoneof theworld’smost iconicdestinations,combininganunmatchedculturalheritageandstrikingscenerieswithoneofEurope’stopperformingandmostdiversifiedeconomy.

TheexportofgoodsandservicescontinuestoprovideadecisiveandpositivecontributiontothefateoftheItalianeconomy:inthefirsthalfof2018,infact,itcontributedtotheformationofGDPbyover31%andtheforecastsareforafurtherincreasein2019upto32%.

Italy is the 2nd largest manufacturer in Europe; 5th largest manufacturer intheworld;9th largestexporterworldwide,withalmost€500billionofexportannually(goodsandservices).

Italy has radically improved its business environment through government reformsandItalianbusinessdynamism.Thankstotheimprovedcompetitiveness,Italy has been welcoming more and more investors.

TheItalianproductionstructureismadeupofmanysmallandmedium-sizedenterprises.Thedifferentrealitiesofexcellencearebothatthelevelofasinglecompanyandofproductivedistricts.

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Over the lastdecade, Italiancompanieshavebeen innovating,modernizingandcreatingnewspecializations,makingItalyoneofEurope’schampionsinexport trade. Building upon its highly competitive and innovative industry,withexportgrowing7.4%in2017,Italyisthe9thlargestexporterintheworld,sellinggoodsfor€448Billioninvalue(2.9%worldwidemarketshare-asofOct.2017)andmaintainingoneofthefewexporttradesurplusesforgoods(€47.8Billionin2017)ofdevelopedcountries.

Thenumberofcompanies interestedinexports isalsosignificant. In2017,there were 216.000 exporting companies in Italy, more than 20.000 ofthose surveyed in2016.Withan increaseespecially formediumand largecompanies.Theaverageexportedvaluehasalsoincreasedoverthelastfiveyears.

1.2 Are there any restrictions on foreign investment (including authorizations required by central or local government)? Generally, thereareno restrictionson foreign investment.The ItalianTradeAgency(ITA),whichisthegovernmentbodywhosemissionistofosterItalianinvestment and trade relations with foreign countries, set up a dedicatedforeigninvestmentdepartment.

ThedepartmentfocusesongivingassistancetocompaniesandentrepreneurswishingtosetupanewbusinessinItaly.Itoffersfreeservicesincluding:• Guidanceattheearlystagesoftheinvestmentdecision-makingprocess.• InformationonthemarketopportunitiesinItalyandEurope.• Informationonthetaxandlegalframework,operatingcosts and the incentives available.• Advice on the best locations.• Introductions to potential partners and to service providers.

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The ITA’smission is to build a unique and integratedportfolio of investmentopportunities in Italy.

Certain investmentopportunities identifiedbythe legislatormustbenotifiedtotheItalianCouncilofMinistersPresidency,followingwhichthestatemakesitsdecision,which includes the faculty toopposeand/orapplyavetoand/orrequirefurtherconditionstoimplementtheinvestment.

Businesssectorssubjecttosuchnotificationrequirementsarethosewithassetsandrelationshipsofstrategicimportancetothenationalinterestintheenergy,transport andcommunications sectors, anddeedsor transactionswithin thesame group. Such limitations also apply to Italian investors.

1.3 Are there any exchange control or currency regulations? Italy has no foreign exchange control system. There are no restrictions oncurrency transfers. However, there are reporting requirements. Banks mustreport transactions over € 1.000,00 due to money laundering and terrorismfinancingconcerns.Thereareother reporting requirementsunderLegislativeDecree(Decretolegislativo)No.231/2007(Decree231/2007).

Cash transactionsofmore than€3.000,00areprohibited (section49,Decree231/2007).


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PART II: DOING BUSINESS IN ITALY WITHOUT A LEGAL PRESENCE IN THE COUNTRY

2.1 MAKING DIRECT SALES WITHOUT A WRITTEN SUPPLY AGREEMENT - GENERAL TERMS

2.1.1 What are the formalities a foreign seller must complete in your jurisdiction in order to make sure that its terms and conditions of sale are binding and enforceable towards local purchasers? Are these conditions enforceable towards non-commercial parties? Preliminary remarksArticles 1341 and 1342 of the Civil Code state particular rules regardingeffectiveness of «unbalanced terms» included in general terms of contractsdraftedbyonepartyandnotnegotiatedwiththeotherpartyorincludedinpre-printedcontractforms(“UnbalancedClauses”).

SALES TO PROFESSIONAL PURCHASERS (B2B SALES)General Conditions of Sale that are regulated by the Italian laws and by the CISGItalyisasignatorytothe1980UnitedNationsConventionontheInternationalSaleofGoods (“CISG”). TheCISGapplies to international sale contractswithprofessionalpurchasers(i.e.notconsumers)thataregovernedbyItalianlaws,unlesstheapplicationoftheCISGisexpresslyexcluded.

Article11oftheCISG,whichoverridesItalianlaws(includingthoseonUnbalancedClauses),statesthat“a contract of sale need not be concluded in or evidenced by writing and is not subject to any other requirement as to form”.

Therefore,thegeneraltermsandconditionsofaforeignsellermayapplytoasalemadeinItalywithoutawrittensaleagreement(e.g.overthephone)eveniftheyhavenotbeenexpresslyacceptedinwritingbythepurchaser,providedthatthelatterhashadachancetoexaminethem,andhasactuallyaccepted,beforeenteringintothesaleagreement.Nonetheless,itisalwaysadvisableto

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havesuchgeneraltermsacceptedinwritingbythepurchaserbeforeenteringinto any verbal or written sale agreement.

General Conditions of Sale that are regulated only by Italian lawsIftheCISGdoesnotapply,thegeneraltermsandconditionsofsaledraftedbytheforeignsellerandnotnegotiatedwith the Italianpurchaserarebindingon thelatteronlyifhewasawareofthem,orhashadthepossibilitytobecomeawareofthem,whenenteringintothesalecontract(article1341oftheCivilCode).

However, even if the purchaser accepts in writing such general terms, theUnbalancedClausesarenotvalidunless (a) thepurchaserdeclares inwritingthathehasexplicitlyacceptedthemand(b)suchdeclarationisrenderedbythepurchaserinaccordancewiththeformalitiesrequiredunderarticles1341and1342oftheCivilCodeandtherelevantcaselaw.

ThelistoftheUnbalancedClausesincludes,amongstothers,provisionsstating:theexemptionfrom(orlimitationof)liabilityoftheseller;therightofthesellertowithdrawfromthecontract;therightofthesellertosuspendtheexecutionof the contractual obligations; deadlines the purchaser must comply withunderpenaltyoflosinghis/hercontractualrights;limitationtotherighttoraiseexceptions/objections;arbitrationandchoiceofforum.

ForEUsellers(otherthanDanishones)makingsalesinItaly,itisworthnotingthattheabove-mentionedprovisionsonUnbalancedClausesmaynotapplywherearticle11ofECRegulation593/2008(“RomeIRegulation”)applies.Saidarticlestates:

“A contract concluded between persons who, or whose agents, are in the same country at the time of its conclusion is formally valid if it satisfies the formal requirements of the law which governs it in substance under this Regulation or of the law of the country where it is concluded.

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A contract concluded between persons who, or whose agents, are in different countries at the time of its conclusion is formally valid if it satisfies the formal requirements of the law which governs it in substance under this Regulation, or of the law of either of the countries where either of the parties or their agent is present at the time of conclusion, or of the law of the country where either of the parties had his habitual residence at that time”.

Sales to Consumers (B2C Sales)Italyhasenactedandimplementedlawsprotectingconsumers,mostofwhichapplyirrespectiveofwhetherthesellerisbasedinItalyorabroad.Inparticular,consumersenjoytheprotectiongrantedbytheprovisionsoftheConsumerCode(LegislativeDecree206/2005andsuccessiveamendments).

TheConsumerCodesetsoutalistofunfairterms,rathersimilartotheunfairterms in consumer contract listed in the EEC Directive 93/13, providing anindicativeandnon-exhaustiveoverviewofthosecontractualtermswhich,beingpresumedtobeunjustanddetrimentaltotheconsumer,arenullandvoid.

Theseller isentitledtoprovethattheyarenotunfair,sincetheyhavebeenindividually negotiatedwith the consumer. However, some other terms arealways considered unfair, and, therefore, null and void even if individuallynegotiated.

TheConsumerCodealsoencompassesspecificconsumer-protectionprovisionsregarding:- distancecontracts (e.g.e-commercesales)andoff-premisescontracts (e.g.

door-to-doorsales)- productssafetyandliabilityfordamagecausedbydefectiveproducts- legal guarantee of conformity and commercial guarantees for consumer

goods

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2.2 MAKING DIRECT SALES WITH A WRITTEN SUPPLY AGREEMENT

2.2.1 What are the clauses a foreign seller should integrate in a written sales agreement (or in its general terms and conditions) and the reasons why?

(a) Retention of title: Is this provided for in your jurisdiction? What are the conditions to make it enforceable towards local purchasers and third parties?

InItalytheretentionoftitleisadmittedbyarticles1523-1526oftheCivilCodeandbyotherlawscontainingspecificprovisionsonthematter.

AccordingtotheItalianlaws,aretentionoftitleclause(“ROT”)mustbeagreedupon in writing, at the very latest, at the time the parties enter into the salecontract.

InordertomaketheROTenforceabletowardsthirdparties,thesaleagreementcontaining the ROT must bear a certified date of signature, and the thirdpartiesmustbeplaced inapositiontobecomeawareof theexistenceof theROT;forcertaintypesofgoods-suchasimmovablepropertiesandproductionmachineryorequipment-thisispossiblethroughthetranscriptionoftheROTin special public registers.

In addition, on the basis of the Legislative Decree n° 231/2002, the ROT isenforceablebytheselleragainstthecreditorsofthepurchaseronlyifrecalledintherelevantinvoices,whichmusthaveacertifieddateprecedingthatoftheseizureofthegoodsandwhichmustbedulyregisteredintheaccountingrecordsoftheseller.

Finally,accordingtothecaselaw,theROTisnotvalidifitisinsertedonlyinthegeneraltermsandconditionsofsale,insofarasthisdoesnotallowforthegoods


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onwhich theROT is placed to be sufficiently identified. Thus, theROTmustnecessarilybeagreedupononeachoccasion,withreferencetoeachindividualsale contract.

(b) Interest and penalty clause: Are these clauses enforceable in your jurisdiction? Can they be reduced or annulled? What are the consequences if this clause is not integrated in the agreement? What is the legal rate in your jurisdiction?

InterestLegislativeDecreen° 231/2002,which implemented in Italy theEUDirectives35/2000and7/2011,statestheinterestratethatapplyifalatepaymentoccursinacommercialtransaction(i.e.aB2Bsale).

Accordingtoarticle1284oftheCivilCode,theMinistryoftheTreasuryfixestheinterestrateapplicableinallothercases,includingsalesinvolvingconsumers(i.e.B2CsalesandC2Csales).

Thepartiesare free toagree interest ratesother than the legalones,but theagreementmustbeinwrittenform,otherwiseitisnullandvoid.

Penalty clausePenaltyclausesareprovidedforandadmittedbyarticles1382-1386ofthecivilcode.Thepurposeofthepenaltyclauseisagreeinadvanceanamountpayableincaseofbreach,ordelayedfulfillment,ofacontractualobligation.

The amount payable under the penalty clause represent the maximum the amount payable in case of breach or delayed fulfillment of the contractualobligationinquestion,unlesstherighttoobtainreimbursementofadditionaldamages is expressly reserved in the clause.


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The amount due under the penalty clause can be equitably reduced by the court in case:- thebreachingpartyhaspartially fulfilled theobligationunder thepenalty

clause;and/or- theamountdueunderthepenaltyclauseismanifestlydisproportionatein

considerationoftheinterestoftheperformingpartytoobtainthefulfilmentoftheobligationformingthesubjectofthepenaltyclause.

(c) Applicable law and competent jurisdiction: Are these clauses enforceable in your jurisdiction? What are the consequences if such clauses are not integrated in the agreement?

Applicable lawThe parties to an international sale contract are generally allowed to choose the law applicable to the contract. The choice is enforceable in Italy underarticle57oftheLawn°218/1995(Italianstatuteonprivate international law)andalsounderthe1980RomeConvention,the1955HagueConventionandtheECRegulation 593/2008 (Rome I Regulation)where suchConventions and/orRegulationapply.However,thechoiceofaforeignlawinconsumersalescannotdepriveconsumersdomiciledinItalyoftheprotectionaffordedtothembymandatoryprovisionsoftheItalianlegislation,withparticularreferencetotheConsumerCode.

Competent jurisdictionThe parties to an international sale contract are generally allowed to agree that anydisputearisingfromthecontractshallberesolvedbyacourtoutsideItaly.Italian courts are obliged to respect the choice of the parties, under the EURegulation1215/2012(if theseller isestablished inanEUMemberState), theLuganoConventionof30/10/2007(ifthesellerisestablishedinNorway,IcelandorSwitzerland)andarticle4oftheLawn°218/1995(inallothercases).


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Inthisrespect,article4oftheLawn°218/1995statesthatthejurisdictionofItaliancourtsmaybederogatedfrombyanagreementinfavourofaforeigncourt if such derogation is evidenced in writing and the action concernsalienable rights.

The choice of a foreign court may not be valid and/or enforceable withreferencetosalescontractswithconsumersdomiciledinItaly,undertheEURegulation 1215/2012 (if the seller is established in anEUMemberState),theLuganoConventionof30/10/2007(ifthesellerisestablishedinNorway,IcelandorSwitzerland)andarticles33and36oftheConsumerCode(inallothercases).

In summary, according to the EU Regulation 1215/2012 and the LuganoConventionof30/10/2007:- The consumer may bring proceedings against the other party to a contract

eitherinthecourtsoftheStateinwhichthatpartyisdomiciledor,regardlessof the domicile of the other party, in the courts of the State inwhich theconsumerisdomiciled;

- Proceedings may be brought against a consumer by the other party to the contractonlyinthecourtsoftheStateinwhichtheconsumerisdomiciled.

Basedonarticles33and36oftheConsumerCode,thejurisdictionofthecourtwheretheconsumerhasitsresidenceordomicilecannotbederogatedfromtothedetrimentoftheconsumer.

IftheforeignsellerandtheItalianpurchaserdonotmakeachoiceonthelawapplicabletothesalecontractand/ortothecourttowhichthepossibledisputesare tobe referred, then such lawandcourtmustbe identifiedona case-by-casebasisinaccordancewiththeprovisionsoftheLawn°218/1995andoftheConventionsorEURegulationthataretoapply.


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2.3 MAKING SALES USING COMMERCIAL INTERMEDIARIES

2.3.1 What types of commercial intermediaries exist in your jurisdiction? InItaly,themostcommonlyusedcommercialintermediationagreementsare:

Franchising agreement: an agreement between two legally and economically independent parties whereby one party (the franchisee) acquires fromanother party (the franchisor), against payment of consideration, a set ofintellectualpropertyrightsrelatedtotrademarks,tradenames,shopsigns,know-how etc. and joins a system (network) constituted by a number offranchiseesoperatingintheterritory,forthepurposeofdistributingspecificgoodsand/orservices.

Distribution agreement: a «framework contract» between two legally andeconomicallyindependentpartieswherebyoneparty(thesupplier)andanother(thedistributor)agreethatthedistributorshallsell-inagiventerritory,initsownnameandonitsownaccount-thesupplier’sproducts,whichhewillpurchasethrough separate sale contracts.

Commercial agency agreement: an agreement between two legally and economically independentpartieswherebyoneparty(theprincipal)appointsanother party (the agent) to promote on a continuing basis the sale of theproducts marketed by the principal.

2.3.2 What legislation applies in your jurisdiction with regard to the above- mentioned types of distribution agreements?

Franchising:FranchisingisgovernedinItalybytheLaw129/2004.


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Inordertosetupafranchisenetwork,thefranchisormusthavealreadytesteditscommercialformulaonthemarket.

Thefranchisormustatalltimesbehavetowardstheprospectivefranchiseewithloyalty,fairnessandgoodfaithandmustprovidetheprospectivefranchiseewithanydataandinformationthelatterdeemsnecessaryorusefulforthepurposesofsigningthefranchisingagreement,exceptincasethedisclosureencompassesinformationthatisstrictlyconfidentialorthatviolatesrightsofthirdparties.

Atleast30daysbeforethesigningofafranchisingcontract,thefranchisormustprovidetheprospectivefranchiseewithacompletecopyoftheagreementtobesigned,togetherwithannexesincludingthefollowing:- most relevant information regarding the franchisor (if the prospective

franchiseesorequests,acopyofthefranchisor’sbalancesheetsforthelastthreeyearsmustbeprovided);

- anindicationofthetrademarksusedwithinthefranchisingsystem,includingdetailsrelatingtotheirregistrationorfiling,ortothelicensegrantedtothefranchisorbythethirdpartywhoownsthetrademarks,oranydocumentationprovingtheeffectiveuseofthetrademarkinthesystem;

- a brief description of the elements characterizing the activity of thefranchising;

- alistofthefranchiseescurrentlyoperatinginthenetwork,aswellasalistofthefranchisor’sdirectoutlets;

- an indication of the variation, year by year, of the number of franchisees,includingtheir locationduringthelastthreeyears,orfromthedateofthesettingupthefranchisor’sbusinessshoulditbelessthanthreeyearsold;

- a short descriptionof any judicial or arbitral proceeding raised in relationto the franchisingsystemagainst the franchisorandconcludedduring thelast three years,whether initiatedby franchisees,privatepartiesorpublicauthorities.


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Thefranchisingagreementmustindicate:- theamountofinvestmentsandotherpossibleentryfeesthatthefranchisee

shallbearbeforebeginningitsactivity;- the manner of calculating and paying royalties, as well as the possible

indicationoftheminimumturnovertobeachievedbythefranchisee;- theexistenceofanyexclusiveterritorialrightsgrantedtothefranchisee;- detailsoftheknow-howprovidedbythefranchisortothefranchisee;- details of the services offered by the franchisor in terms of technical and

commercialassistance,setting-upandfurnishingofthestoreandtraining;- theconditionsfortherenewal,terminationorassignmentoftheagreement.

The franchising agreementmay be stipulated for a fixed or for an indefiniteterm.Ifthefranchisingagreementprovidesforanindefiniteterm,thefranchisormustguaranteethefranchiseeaminimumterminordertoallowthelattertodepreciate/amortize its investments,which inallcasesmustnotbe less thanthree years.

Distribution agreement:Thereisnospecificlegislationregardingdistributionagreements.

AccordingtoItaliancaselaw,adistributor’sexclusivitycannotbeimpliedfromthecontractitself.Therefore,ifthepartiesenterintoadistributionagreementwithoutspecifyingthatthedistributorhasexclusiverights,thenthelatterwill,inprinciple,havenoexclusivity.

However,ifthedistributoractuallyactsandbehaveasanexclusivedistributor,thenitmaybeconsideredasbeingexclusiveevenintheabsenceofaspecificclausetothateffect.

In principle, the fact of granting exclusivity to the distributor implies that


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the supplier must not appoint other distributors or commercial agents in the contractualterritorynormakedirectsalesofproductstolocalcustomers.

Also,thedistributor’sobligationnottomarketcompetingproductscannotbeimplied fromthedistributioncontract,and itmustbeexpresslyagreeduponbetween the parties.

Suchagreementmaybeatacit(ororal)agreement,anditcanbeinferredfromelements suitable to demonstrate that the parties actually wished the distributor not to deal with competing products.

Thedistributionagreementmaybestipulatedforafixedorforanindefiniteterm.

Iftheagreementisforanindefiniteterm,areasonablenoticeperiodmustbeprovidedbythepartywishingtoterminatetherelationship,sinceItaliancourtshaveappliedtodistributionagreementsarticle1569oftheCivilCodeonsupplyagreementsandarticle1725onthecontractofmandate,bothofwhichrequirethatanappropriatenoticeisgivenbytheterminatingparty.Ifthepartieshavefixed theminimumnotice period in the distribution contract, courts tend torespect their choice.

Commercial agency agreement:The main rules on commercial agency agreements are contained in articles 1742-1753oftheCivilCode.

A peculiar characteristic of the Italian system is the presence of CollectiveAgreements (Accordi Economici Collettivi - AEC) concluded between theorganizationsofprincipalsandagents.Inprinciple,collectiveagreementsdonotapplytocontractsbetweenaforeignprincipalandanItalianagent(orbetweenaforeignagentandanItalianprincipal),astheyapplyonlywherebothparties


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belong to the associations which signed them or where they are incorporated by referenceintotheagencyagreement.

The commercial agent is entitled to a remuneration, usually consisting of acommission. In the absence of any agreement, a commercial agent shall beentitledtotheremunerationthatiscustomarilyallowedintheplacewherehe/shecarriesouthis/heractivities.

The commission is due to the agent on transactions concluded during the term oftheagencyagreement:- wherethetransactionhasbeenconcludedasaresultofhis/heractions;- where the transaction is concluded with a third party which he/she has

previouslyacquiredasacustomerfortransactionsofthesamekind;- wherehe/sheisentrustedwitheitheraspecificgeographicalareaorgroupof

customers and where the transaction has been entered into with a customer belonging to that area or group.

Thecommissionisduetotheagentontransactionsconcludedaftertheagencyagreement has terminated:- ifthetransactionismainlyattributabletotheactivitycarriedoutbytheagent

duringtheperiodcoveredbytheagencyagreementand if thetransactionwas entered intowithin a reasonable period of time after that contract isterminated;

- iftheorderofthecustomerreachedtheprincipalortheagentbeforethedateofterminationoftheagencyagreement.

Intheabsenceofcontractualprovisionstothecontrary,basedonarticle1748oftheCivilCode,therighttocommissionariseswhentheprincipalperformsthesalescontract,normallybydeliveringthegoods.Thepartiesarefreetocontractuallypostponethisterm,butonlytoapointnotlaterthanthemomentinwhichthe


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customerfulfills,orwouldhavetofulfill,his/herobligation.Itiscommonpracticetomakeuseofthisoptionandtoprovidewithintheagencyagreementthattherighttothecommissionarisesonlywhenthecustomerpaysforthegoods.

Iftheagencyagreement isconcludedforanindefiniteterm,eitherpartymayterminate the same by providing the other party with a notice period.

Anagencyagreementforafixedperiod,whichcontinuestobeperformedafteritsexpiry,becomesanindefinitetermagreement.

Basedonarticle1750oftheCivilCode,theminimumnoticeperiodisonemonthwithinthefirstyearofdurationoftheagreement,twomonthsduringthesecondyear,threemonthsduringthethirdyear,fourmonthsduringthefourthyear,fivemonthsduringthefifthyearandsixmonthsduringthesixthyearorthereafter.Unless otherwise agreed, termination is effective at the end of the calendarmonth in which the notice period expires.

TheCollectiveAgreements,whereapplicable, require theparties toobserveddifferentterms.

AccordingtoArticle1743oftheCivilCode,theagentcannotact,inthesameareaandforthesametypeofbusiness,forcompetitorsoftheprincipal.Thisimpliesthatevenintheabsenceofacontractualprovisionprohibitingtheagenttosellcompetingproducts,thelawpreventshim/herfromdoingso.

However,theaboveruleisnotmandatory.Thepartiesarefreetoderogatefromsuch provision and permit the agent to deal with products that are in competition withthoseoftheprincipal.

The parties may also agree a post-contractual non-competition obligation.


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However,therelevantclauseisvalidonlytotheextentthat it isconcludedinwritingandrelatestothesamegeographicalarea,customersandproductsasthe agency agreement.

The duration of the obligation cannot exceed a period of two years afterterminationofthecontractand,foragentswhoperformtheiractivityindividually,orasapartnership,orascorporationwithasolepartner,orascorporationofcommercialagents,itmustberemuneratedbythepaymentofanindemnity.

Iftheamountoftheindemnity,orthemethodforitscalculation,hasnotbeenagreedbetweentheparties,theamountwillbedeterminedbythecourtstakinginto account:- theaverageofthecommissionreceivedduringthecourseofthecontract;- thereasonsforterminationofthecontract;- theextensionofthegeographicalareaassignedtotheagent;- thecircumstanceofbeingasingle-brandagent.

Sincethecourtshavewidediscretionarypowerfordeterminingtheamount,itishighlyrecommendedtoexpresslystateinthecontractthecriteriaforcalculatingindemnity.

According to article 1751 of the Civil Code, upon termination of the agencyagreement, the agent is entitled to a goodwill indemnity if the followingconditions are met:- the agent has brought new customers or has considerably increased business

with existing customers and the principal continues to derive substantial benefitsfromthebusinesswithsuchcustomers;and

- thepaymentofsuchindemnityisequitable,havingregardtoallcircumstancesand in particular to the commission lost by the agent on business with such customers.


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The goodwill indemnity is not due:- wheretheprincipalterminatesthecontractforabreachbytheagentofsuch

importancethattherelationshipcannotcontinue,noteventemporarily;- where theagent terminates thecontract,unless termination is justifiedby

circumstances for which the principal is responsible or by circumstancesregarding theagent, suchasageor illness,underwhichhe/shecannotbereasonablyrequestedtocontinuehis/heractivity;

- where,byvirtueofanagreementwiththeprincipal,theagentassignshis/herrights and duties under the agency agreement to a third party.

Theamountofthegoodwillindemnitycannotexceedasumequaltoayearlyindemnity calculated on an average of the commission earned by the agentinthelastfiveyearsofdurationoftherelationship(orintheshorterperiodofdurationoftherelationship,ifitlastslessthanfiveyears).

Case law on the matter shows courts’ decisions that are not at all homogeneous.

Insomecases,noindemnityhasbeengrantedtotheagentwheretheagenthaddemonstratedanincreaseofthecommissionaccrued,sincetheagenthadnotgivensufficientevidenceofthedevelopmentofnewcustomers.

In other cases themaximum amount (one year commission on the averageofthelastfiveyears)hasbeengrantedwithoutanin-depthevaluationofthevarious circumstances.

However,inmostcasesthecourtshavegrantedtheagentanindemnityrangingfrom30%to80%ofthemaximumamount,takingintoaccounttheimportanceofthecustomersprocuredbytheagent,theimpactoftheprincipal’strademarkandadvertising,theadvantagesfortheprincipal,thedurationoftherelationshipandothersimilarcase-specificcircumstances.


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3.1 DOING BUSINESS IN ITALY THROUGH A REPRESENTATIVE OFFICE OR A BRANCH OFFICE OF THE FOREIGN PARENT COMPANY

3.1.1 What are in your jurisdiction the differences between starting up a representative office compared to a branch office or a subsidiary of a foreign company?

Therepresentativeoffice in Italyofaforeignparentcompany(“RO”) isthesimplestandmost straightforward formofpresenceby the foreignparentcompanyintheItalianjurisdiction.TheROisnotregardedasaseparatelegalentityfromitsparentcompany.

TheROallowstheforeignparentcompanytohaveanofficeinItalyandcarryoutthroughsuchofficeancillaryandpreparatoryactivitiespriortoenteringthe Italianmarket, suchas thegatheringof information from the relevantmarket andprospected clients, or the executionof advertising,marketingand promotional activities.

TheROcannotengageinanyactivityinvolvingthepurchaseorthesaleofproductsortheprovisionofservicesforconsideration.

AstheRO,thebranchofficeinItalyofaforeignparentcompany(“Branch”)isnotregardedasaseparatelegalentityfromitsparentcompany,whereasan Italian subsidiary of a foreign parent company is (“Subsidiary”). Theobligations incurred through the RO or the Branch can be, therefore,enforced on the assets of the foreign parent company, even if they arelocated abroad.

Conversely,astheSubsidiaryisaseparatelegalentity,itsliabilityislimitedtoitsownassets.Theshareholderswillthereforenotbepersonallyaffected

PART III: DOING BUSINESS IN ITALY WITH A LEGAL PRESENCE IN THE COUNTRY

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bytheliabilitiesoftheSubsidiarybeyondtheamountofsubscribedcapital.

The fundingof theBranchmaybecarriedoutbyhaving the foreignparentcompanymaking funds available to theBranch,whereas the startingupofaSubsidiary,whetherasa limited liabilitycompany (“SRL”)ora joint stockcompany(“SPA”),requiresaminimumcapitaltobepaidbytheforeignparentcompany.

It may be advisable to consider opening a Branch in Italy when the Italian operationsareexpectedtoincurlossesduringtheinitialyears,whichcanthenbe offset against profits earned by the foreign parent company from otheractivities.

3.1.2 What formalities must be fulfilled for the registration of a RO?

The registration of the RO in Italy does not imply the involvement of anyparticular local authority, but it simply requires the legal representativeof the foreign parent company and/or the local representative of the ROto file a communication with the Repertorio delle notizie Economiche edAmministrative (R.E.A.), held by the Italian company registry, whereby theforeignparentcompanyinformsthelocalItaliancompanyregistrythatalocalofficeinItalywasopened.

Thisdoesnotimplyformalregistrationoftheforeignparentcompanyand/oroftheROwiththecompanyregistryinItaly.

Inaddition,theROshallberegisteredunderthesocialsecurityauthorities,onlyiftheROforeseestheemploymentoflocalemployees,whileinsteaditdoesnothavetoberegisteredwiththe ItaliantaxauthoritiessincetheROisnotataxpersonforItaliantaxpurposes.


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3.1.3 What formalities must be fulfilled for the setup of a Branch?

In the jurisdiction of the foreign parent company.InordertoregisteraBranchinItaly,thefollowingdocumentsmustbepreparedinthejurisdictionoftheforeignparentcompany:• corporateresolutions:Theboardofdirectorsoftheforeignparentcompany

must formallyadopt resolutionsdeciding toopentheBranchandappointinItalyalegalrepresentativeforthepurposesofmanagingtheBranchandrepresenting the foreign parent company in dealingswith third parties aswellasinlegalproceedingsinconnectionwiththeactivitiesofthebranch.The resolution must also include the address in Italy where the Branch will physicallybelocated;

• acertifiedcopyoftheregistrationcertificateoftheforeignparentcompanywithintheforeignCompanies’RegisterorattheChamberofCommerce;

• acertifiedcopyof theArticleof IncorporationandBy-Lawsof the foreignparent company.

Theabovedocumentsmustbecertifiedandlegalizedbymeansofthe“Apostille”procedureprovidedforbytheHagueConventionofOctober5th,1961.AnItaliansworn translation is also required.

In ItalyIn order to register a Branch in Italy, the documents prepared in thejurisdictionoftheforeignparentcompanymustbetranslatedintoItalianbyacertifiedtranslatorandthendepositedwithintheofficeofanItaliannotarypublic,whoshallinturnfilethesamedocumentswiththecompetentItalianCompaniesRegister.

WhilesubmittingthedocumentstotheItaliannotary,acertifiedsignatureoftheBranch’s representative must also be acquired.


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In addition, a VAT and tax ID numbermust be sought no later than 30 daysfromthebeginningofoperations.Atthesametime,therepresentativeoftheBranchmustpresenttheVATofficewithadeclarationastothebeginningoftheactivities,validforVATpurposes.

3.1.4 Why would you advise a foreign parent company to set up a RO or a branch and not a subsidiary in Italy, or vice versa?• PROs-BoththeROandtheBranchhavenominimumcapitalrequirements;thus,theforeignparentcompanyisnotobligedtopayinanystart-upcapitalandboththeROandBranchdonotneedtocomplywithrequirementssuchasaboardofdirectorsorshareholders’meetings.

-TheROandtheBranchbenefitfromthereputationoftheforeignparentcompany.-A Branch producing losses during the initial years may allow the foreignparentcompanytousesaidlossestooffsetrevenuesderivedbytheparentfromotheractivities.

• CONs-TheforeignparentcompanyisfullyliablefortheactionsoftheROandofthe

Branch and any debts it may occur.-ABranch’sannualfilingswillrevealfinancialinformationabouttheforeignparentcompanythatthelattermayprefertokeepconfidential.ThisdoesnotapplytotheRO.

-SinceaBranchusuallymaintains limitedassetswithinthe Italianterritory,local market players may be reluctant to enter into transactions with such entity.ThisdoesnotapplytotheRO.

3.1.5 Is a RO or Branch authorized to act before the court, to engage people, etc.?

Yes.AlocalrepresentativemustbedesignatedforpurposesofrepresentingtheROortheBranchinItalyindealingswiththirdpartiesandlegalproceedings.


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3.1.6 What is the liability of the legal representative of the RO/Branch?

The legal representative of a RO/Branch has the same liability towards thirdpartiesasthedirectorofanItaliancompany.

3.1.7 Is there an automatic liability of the foreign parent company for the operations or acts of the RO/Branch?

Yes. The head office of the foreign company is always entirely liable for allundertakingsoftheROoroftheBranchofficeinItaly.

3.1.8 Which language will the documents be in?

BranchesandROaresubjecttoItalianregulationsontheuseoflanguagesandthusalldocumentsrequiredbylawmustbedraftedinItalian.

3.1.9 What are the accounting requirements for a RO/Branch?

ABranchhas theobligation tokeepa separate setof accounts yet it isnotrequired tosubmitacopyof these.TheBranchmustalsokeepVATrecordsinaccordancewithItaliantaxruleswithanyprofitsitearnsbeingsubjecttoItaliancorporatetax.Asapermanentestablishment,aBranchmustfileitsowncorporateincometaxreturntogetherwiththeannualaccountsoftheforeignparent company.

This does not apply to the RO. The RO will have to start up an extremelysimplifiedaccounting system,aimedat sortingout the costs that the sameincursinItalyduringitslimitedoperationsinItaly.TheROdoesnothaveanobligation tofilean incometax return in Italyanddoesnothave tofile thebalancesheetoftheforeignparentcompanytotheItaliancompanyregistry.


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3.2 DOING BUSINESS IN ITALY THROUGH A SUBSIDIARY OF THE FOREIGN PARENT COMPANY

3.2.1 What are the advantages of establishing a Subsidiary compared to establishing a Branch?

AstheSubsidiaryandtheforeignparentcompanyareseparate legalentities,theforeignparentcompanyisnotexposedtoanyliabilitiesoftheSubsidiary.Incontrast,aforeigncompanyremainsfullyliableforallthecommitmentsofitsBranch.ObligationsincurredthroughaBranchcanbeenforcedontheassetsoftheforeigncompany,eveniftheyaresituatedabroad.

A Subsidiary offers a significant degree of flexibility from a structural andgovernance stand point.

Althoughtaxationrulesareverysimilarforboth,aSubsidiarycanbenefitfromseveral tax advantages:• the ability to repatriate or distribute net profits with little or no dividend

withholding tax: in fact, subsidiaries in most cases qualify as “parentcompanies”undertheEUParent-SubsidiaryDirective;

• subsidiariescanbenefitfromtheadvantagesaffordedunderthedoubletaxtreaties concluded by Italy.

Annualfilingrequirementsarelessstringentforsubsidiariesthanforbranches.ABranch’sannualfilingwillrevealfinancialinformationabouttheforeignparentcompanythatitmayprefertokeepconfidential.

Inaddition,itshouldbeborneinmindthat,insomecases,theregistrationofaBranchmaybecompulsorywhenaforeignparentcompanywishestoparticipatein Italian public contract tenders.


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3.2.2 Main characteristics of the company forms existing under the Italian jurisdiction.

A foreign investor wishing to set up an enterprise in Italy may choose fromseveraltypesofbusinessentities.Themostpopularformsofare:• aLimitedLiabilityCompany(S.r.l.);• aCorporation(SPA).

In theory, foreign investors could also choose to incorporate an UnlimitedPartnership1 (Società in Nome Collettivo) or a Limited Partnership2 (Societàin Accomandita Semplice) or a Partnership Limited by Shares3 (Società inAccomanditaperAzioni).However,inpractice,saidbusinessentitiesarerarelyusedbyforeigninvestorsenteringtheItalianmarket.

3.2.3 Which of the company forms is used most frequently in Italy?

InvestorsmostfrequentlyuseSRLandSpaformsasbusinessvehicles.

3.2.4 Which company form is used most frequently in the case of small or family businesses?

SmallorfamilybusinessesveryoftenselectanSRLastheidealvehiclefordoingbusiness in Italy.

In fact, the SRL is equivalent to a private limited company where capitalparticipationisrepresentedbyquotasinsteadofshares.TheSRLmayhaveoneor more quota holders.

TheprovisionsapplicabletoanSRLaresimplerincomparisontothoseapplicabletoanSPA.Indeed,mostoftherulesapplicabletoanSRLarenotcompulsory


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and,therefore,canbederogatedbytheparties,consequentlyenhancingself-ruling and entrepreneurial skills.

AsopposedtoanSPA,theparticipantsinanItalianSRLmaycontributetothecapitalof thecompanybymeansof theirworkor services,know-how,good-will andotherpersonal rights, as longas theparticipants, at the timeof thecontribution,providethecompanywithanadequateinsurancepolicyorbankguarantycoveringthevalueofthecontributedassets.

Thequota-holdershavethegreatestfreedominchoosingtheformofcorporategovernance which best meets their needs.

Generallyspeaking,thecorporategovernanceofItaliansubsidiariesisentrustedto either a sole director or to multiple directors.

Inthelattercase,Italiansubsidiariesmayadopteitheraboardofdirectors,whomayalsodelegatespecificpowerstoamanagingdirector,ormultipledirectorsacting severally or jointly and unanimously.

Thesoledirectororthedirectorsmaybeforeigncitizensanddonotnecessarilyneed to be resident in Italy. Foreign companies maintaining Italian subsidiaries


1.Anunlimitedpartnershipisapartnershipwhosepartnershaveunlimitedliabilityforalltheactsandtransactionsenteredintobythepartnership.Anyofthepartnersmaybeappointedasdirectorsofthepartnership.Italianlawgenerallyrestrictsthetransferofapartner’sinterestintheunlimitedpartnership.2.Alimitedpartnershiphasacombinationoflimitedandunlimitedliability.Therearetwocategoriesofpartners:generalpartnerswhohaveunlimitedliabilityandspecialpartnerswhoareliableonlytotheextentoftheircapitalcontributionstothepartnership.Onlygeneralpartnersmaybeappointedasdirectorsofthepartnership.3.Thestructureandcharacteristicsofapartnershiplimitedbysharesaresimilartothoseofalimitedpartnership,exceptthatthecapitalcontributionofthepartnersisrepresentedbysharesandgenerally,thelawrelatingtojoint-stock companies applies.

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shouldkeep inmindthat foreigndirectorsof ItaliancompaniesarerequiredtoobtainaTaxIDnumber,whichcanbeappliedforatthecompetentItalianRevenueOfficeorattheItalianconsulateintheconcernedforeigndirector’shomestate.

Thearticlesofassociationofan ItalianSRLmayvalidlystatethatprofitsandlossesoftheSRLcanbesharedanddistributedtoquota-holdersinaccordancewitharatiothatdoesnotcorrespondtothepercentageofownershiprightsofeachquota-holder.Thus,an ItalianSRLowned50 -50by twoquota-holderscouldvalidlydistributeprofitsandlossesaccordingtoa60-40ratio,orindeedanyotherratio.Article2468oftheItalianCivilCode.

Finally, it is possible as from 2012 the incorporation in Italy a Società aresponsabilità limitata semplificata (“Simplified SRL”), which is a simplifiedlimited liability company.

WhileanSRLmustbeestablishedwithasharecapitalofatleast€10.000,00byeitherindividualsorlegalentitiesthroughapublicdeeddrawnupbyaNotaryPublic,aSimplifiedSRLisestablished:i. withasharecapitalequaltoatleast€1,00butlessthan€10.000,00,100%of

whichmustbepaidupfront;ii. throughthefilingoftheso-called“standard”ArticlesofAssociation(approved

withMinisterialDecreen.138/2012):asaresult,thecostsassociatedwiththedraftingoftheArticlesofAssociationaswellastheirsubsequentregistrationwiththeCompanyRegistryaredrasticallyreduced.

The Italian legislator has also passed a set of laws designed to aid theestablishmentanddevelopmentofinnovativestart-upcompanies,providingforseveralincentiveswhichinclude:taxincentivesforstartups,corporatebenefitsandexceptionstobankruptcylawprovisions,costreductionsforthesettingupofanewcompanyandemploymentrulesseparatedfromgenerallabourlaw.


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3.2.5 What are the main formalities a foreign company has to comply with in order to establish a Subsidiary?

The legal steps involved in establishing a subsidiary are similar for mosttypesofcompanystructureandusuallyconsistofthefollowingsteps:a) Namecheckingandnamereservation;b) DraftingofCompanyArticlesandMemorandumofAssociation,whichmust

include:i. thefullpersonalorcompanyname,dateandplaceofbirthorformation,

domicileorregisteredofficeandcitizenshipdetailsofeachshareholderorquota-holder;

ii. detailsofthemunicipalityinwhichthecompany’sregisteredofficeandanysecondaryoffices,aresituated;

iii. thecompanypurpose;iv. theamountofthesubscribedandpaid-upcapital;v. thevalueattributedtoassignedcreditsandgoods;vi. companyrulesonfunctioning,administration;vii. representation and duration.

c) Pre-paymentof25%ofthesharecapital;d)Thisusuallyinvolvesthepayinginof25%ofthesharecapital(100%inthe

caseof a singlepersonSRLor singlepersonSPA),withanaccumulatingbankaccountopenedinthenameofthecompanytobeestablished.InthecaseofanSRL,thepaymentmaybereplacedbyaninsurancepolicyorbankguaranteeforthecorrespondingamount.Thebankwillissueacertificate,which must be delivered to the notary on the date of execution of theincorporationdeed,confirmingthatthepaid-upamountofthecapitalisinthe bank account.

e) Appraisalreportoncontributionsofcreditsorgoodsinkind;f) The shareholders or quota-holders may also make a contribution in kind

to thecompanyconsistingofassetsother thancash,provided that such


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assetshaveaneconomicvalue(e.g.realestate,sharesinanothercompany,aclaimforthepaymentofanamountofmoney,etc.).

g) ExecutionoftheMemorandumofAssociationinfrontofanItaliannotarypublic;h) Submissionofdeedof incorporationandofotherrelevantdocumentsto

theCompanies’Registerbytheappointednotarypublic;i) RegistrationofthecompanywiththeCompanies’Registerandawardingof

acompanyregistrationnumber;j) Application for any government authorizations required for particular

activities;k) RegistrationwithlocalVATauthorityandapplicationforaVATidentification

number;l) Openingoftheoperatingbankaccounts;m) Executionofthecashcapitalcontributionand/orthecontributioninkind.

3.2.6 What are the costs of establishing a subsidiary in Italy?

Legal feesmay result as being in the regionof € 2.000,00 for an SRL and €4.000,00foranSPA,whilenotarialfeesmayamounttoaround€1.500,00withotherregistrationfeesbeingintheregionof€600,00-€700,00.

3.2.7 How long does it take to establish a subsidiary in Italy?

ASubsidiarycanbefullyestablishedandoperativewithinapproximatelytwoweeks.Generallyspeaking,thesettingupofformalitiestakesaround7days,withregistrationformalitiesrequiringafurther7days.

3.2.8 Is there specific legislation with regard to the liabilities of the founders and the directors of the most used company form?

AlthoughtheshareholdersofanSRLorSPAareseparatelegalpersons,andtheir


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potentialliabilityisnormallylimitedtotheirsubscription,theshareholderscanbeheldresponsibleifthesameactonbehalfof,andusethenameof,thecompanyduringnegotiationswiththirdpartiespriortothelegalentitybeingfullyregisteredwithintheCompanyRegistryheldbythecompetentlocalChamberofCommerce.

ThedirectorsofanSRLorSPAcanalsobeheld liable incaseof improperornegligentexecutionoftheirtasksasdirectors,violationofItaliancorporatelawsorthecharterofthecompany.Adirectormaybeheldliableifs/hehadadirectorindirectpersonalinterestinadecisionandobtainedanunjustifiedadvantagetothedetrimentofthecompanyasaresultofthatdecision.

Directors are frequently found liable for submission of misleading financialstatementordistributionofshamdividends.ThemaincorporateoffencesinthisfieldoflegislationaresetupwithintherelevantarticlesofItalianCivilCodeandofItalianCriminalCode,aswellasoftheLegislativeDecreen.231/2001.

Directorsarebound toensure full safetyandhygieneon thepremisesof thecompanyaswellasonanyproductionwork-storagesiteusedbythecompany,incompliancewithLegislativeDecreen.81/2008.

Within consumer law, directors may be held liable should they be found inviolationofthelegalprotectionaffordedtoconsumers,incompliancewiththeItalianConsumerCodeprovidedforbyLegislativeDecreen.206/2005.

Bankruptcylawisalsoimportant,sincedirectorscanbefoundliableinthosecaseswherethecompanyfallsintopre-insolvencystatusfollowedbysubsequentbankruptcy.Themostrecentreformonbankruptcylawaimsatanticipatingtheoccurrenceofthecorporatecrisisbyprovidingalertsystemsthatcanpreventcorporatecrisisfrombecomingirreversibleaswellasatgivingspacetotheout-of-courtsettlementtools.


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The implementation of an efficient and timely assessment of the financialstatusofthecompanyisanadequatetoolandsolutiontoensurethedirectorsmay preventively detect insolvency situations.


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4.1 Who do you turn to in order to close a valid real estate purchase agreement?

Todraftandcloseavalidrealestatepurchaseagreement,younormallyturntoanattorneyandanotarypublic.Theattorneyisresponsibleforstructuringthetransactionfroma legalandcontractualpointofview,whilethenotarymusthandlealltheformalitiesconnectedwiththeexecutionofthenotarialdeedbywayofwhichthepropertytitleandrightsaretransferredfromthesellertothepurchaser.

TheRealestatepurchaseagreementsarethusexecutedbypublic instrumentwhereby thedeedof sale isdraftedbyan Italiannotarypublicand is signedbeforethenotaryhimself.

It is customary, although not obligatory, for the seller and buyer to sign apreliminarycontractknownasa“contrattopreliminaredicompravendita”or“compromesso”whichsetsoutessentialdetailsoftheagreement,suchasthepurchaseprice, payment terms, financial sources and,most importantly, thepurchase completion date.

The only obligatory contract that must in all cases be signed by both the buyer andsellerinrelationtothepurchaseofrealestateinItalyisthe“contrattodicompravendita”.Suchcontractmaybesignedeitherbythepartiespersonallyorbytheirdulyappointedrepresentativesholdingthenecessarypowerofattorneyandisusuallyexecutedbeforeanotarypublic.

Uponsignatureofthefinalrealestatecontract,thenotarypublicdeliversboththesellerandthebuyerwithacertifiedcopyoftherealestatecontract.Startingfromtheexecutiondateofthepurchasecontract,thebuyerbecomesthelawfulowneroftherealestatewithrespecttotheseller.

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Thenotarypublic is then requiredby law to register theoriginal copyof thepurchasecontractwiththeLandRegistry(ConservatoriadeiRegistriImmobiliari)andonlyfromthedateofsaidregistrationdoesthebuyerbecomethelawfulowneroftherealestatewithrespecttoanythirdparties.

Asafinalstep,oncethepurchasehasbeencompleted,thesellermustprovidethebuyereitherwithacertificateofhabitability,incaseswheretherealestateinquestionhasbeenpurchased for residentialpurposes,orwithacertificateconfirming the purpose forwhich the propertymay be used,where the realestate has been purchased as commercial property.

4.2 What are the costs related to the real estate purchase agreement?

Avarietyoffees(alsocalledclosingorcompletioncosts)arepayablewhenyoubuyapropertyinItaly.Thesevaryconsiderablyaccordingtothepurchaseprice,whetherthepropertyisneworold,whetherthepurchaserisbuyingviaanagentorprivately,andwhetherithasemployedalawyerorotherprofessionals.

ThefeesassociatedwithbuyingpropertyinItalymayincluderegistrationtax,land registry tax,valueadded tax (VAT),notary’sandestateagent’s fees,andmortgagecompletioncosts.Beforesigningapreliminarycontract,itisadvisabletocheckexactlywhatfeesarepayableandhavethemconfirmedinwriting.

However,inrespecttoresidentialpropertiesonly,thebuyer(whomustnotbeacompany)hastheoptionofchoosingtopaytheabovetaxesonthecadastralvalue rather than on the actual purchase price. This allows him/her to saveapproximatelyhalfthepreviouslypayablecosts.

• Registration TaxRegistrationtax(impostadiregistro)isthemaintaxonthetransferofownership


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ofpropertyand is leviedata rateof2or9per centapplicableoneither thecadastralvalue(valorecatastale)ofthepropertydeclaredbythepartiesinthepurchase deed or the property sale price. The amount payable depends on whetherthepropertyconstitutesthefirstorthesecondhomeofthepurchaser,whetheritisanewhomeandwhetherthepurchaserisresident,asperbelow:

- Onhis/herfirsthome,apurchaseriseligibleforareducedtaxof2percent.Thepropertymustbehis/herprincipalhomeforresidentialuseandbelocatedinhis/herpresentorfuturemunicipalityofresidence(orinthemunicipalitywheres/hehasorplanstohavehis/hermainplaceofbusiness)andmustnotbeclassifiedasa‘luxury’home.

- The registration tax fornon-residents,whoarenotwilling to transfer theirresidencytoItaly,andthosebuyingasecondhomeis9percent.

• Land Registry TaxLandregistrytax(impostacatastale)ispayableonallpropertypurchasesandthe amount payable ranges from € 50,00 to € 200,00, depending on certainconditions.

• Mortgage FeesTherearefeesassociatedwithmortgages(speseistruttoria).Alllenderschargeanarrangementfeeforsettingupaloan,usuallyaround1percentoftheloanamount.Thereisalsoamortgagetax(impostaipotecaria)andafee(impostasostitutiva)payabletothenotary(notaio)forregisteringthechargeagainstthepropertyattheregistry(catasto).

Most lenders also impose an ‘administration’ fee of around 1 percent of theloan value with it being compulsory to take out insurance cover with the lender againstfire,lightningstrikesandgasexplosions.


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• NotaryNotaryfeeswillalsobedueandwillvaryaccordingtothepriceoftherealestatedeclaredonthepurchasecontract,amountingtobetweenoneandoneandahalfpercentofthepriceoftherealestatedeclaredinthepurchasecontract,plusVAT,ifapplicable.

• Real Estate AgentFurthermore,buyersmakinguseoftheservicesofarealestateagentwillalsobe required to pay commission to the same, the rates of which range fromonetothreepercentofthepriceoftherealestate.Asthisrateisusuallyopentonegotiation,buyersare recommended toagreeon the relevant realestateagency rate at the very start.

4.3 Is there in Italy legislation that can slow down the purchase process (e.g. environmental legislation requiring preliminary soil examinations)?

No,apartfromsomeveryspecificcasesofminorsignificance

4.4 Is there imperative law in Italy with regard to the rent of offices, industrial real estate or commercial real estate? Can you give a summary of the major stipulations of these regulations?

ItalianrentalandleasecontractsaregovernedbyArticles1571-1614oftheItalianCivilCode,byLawn°392of07/02/1978andLawDecree333of11/07/1992,asmodifiedbyLaw359of08/08/1992,withthelatterestablishingminimumtermsandmaximumrentcharges,aswellasrentadjustmentlimitations.The current legal provisions cover and regulate two main categories ofimmovable assets:• premisesusedforthepurposeofdwelling,and• premisesusedforpurposesotherthandwelling.


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Theminimum term for premises used for dwelling purposes is fixed at four(4)years.Alandlordmayonlyserveadisdetta-aregisteredletterofnoticeofterminationtobesentatleastsixmonthsbeforecontractexpiry-tocoincidewiththeendofthestandard4year-period.

Dependingonthespecifickindof leasecontractenteredinto,therightofthelandlordtoterminatethecontractmaybesubordinatedtotheexistenceofajustcauseprovidedforbyproper Italianlawsgoverningleaseagreementsfordwelling purposes.

Atenantisinsteadalwaysfreetoterminatetheleasecontract,providedthats/he sends the landlord a six months prior notice by registered letter with return receipt.Failuretodosoautomaticallyrenewsthecontractforanother4years.

Theminimumtermforpremisesusedforpurposesotherthandwellingisfixedatsix(6)years,whileleasecontractsconcerninghotelsshallhaveaminimumtermequalto(9)years.Also,inthiscase,alandlordmayonlyserveadisdetta-aregisteredletterofnoticeofterminationtobesentatleasttwelve(12)monthsbeforecontractexpiry - tocoincidewith theendof thestandard6-or9-yearperiod.Failure todo soautomatically renews thecontract foranother6or9years.

Tenantsofpropertiesleasedforcommercialuseinsectorswherethereiscontactwithusersorthegeneralpublic,may,accordingtothenatureoftheiractivities,be entitled to goodwill indemnity should the contract be terminated by the landlordforreasonsotherthandefault,noticeofterminationorterminationbytenant,orduetotenantinsolvency.

Tenantshaverightoffirstrefusalonre-rentingthepropertyoncetheoriginalrentalcontractterminatesbyreasonofexpiration.


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Shouldownershipofthepropertybetransferred,thenewlandlordwillbeheldtorespectthefirstrefusalrightsofanexistingtenantwherethesamecarriesoutactivitiesincontactwiththepublic,isnotindefaultwithpaymentandhasnotsentnoticeoftermination.

4.5 Are there any formalities to fulfill in order to enforce lease agreements towards third parties?

Allrentalcontractsofmorethan30daysinlengthmustberegisteredwithin30daysoftheircommencementandaresubjecttoaproportionalregistrationtaxof2%ofannualrent.


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5.1 Are there any specific regulations with regard to employment matter?

ThefieldofemploymentlegislationhasbeentheobjectofwidereformwiththeapprovalofLawn.92/2012,which introducednewprovisionswithregardstoflexible employment contracts,modified dismissal regulations and reformedthesocialsecurityandunemploymentbenefitsystem.

EmploymentlegislationwasfurtherreformedwithLaw183/2014(referredtoas“jobsAct”)andbythefollowingrelatedenforcementdecrees.

Collectivebargaining agreements (at national, local and company level) thatresult from the negotiation between the trade unions and the associationsrepresentingthecompaniesoperatinginabusinessareoftenenabledbylawtointegrateandevenderogatefromprovisionsofthelaw.

Themostcommontypesofemploymentcontractsare:• Employmentforanindefiniteperiod. The typeof relationshipconsidered“usual”by law,andpresumedtoexist

intheabsenceofadifferentandvalidchoicemadebytheparties,isthatofan“employeeforanindefiniteperiod”.Withaviewofprotectingtheworker,thiscontractdoesnotrequireanyspecialform,althoughwrittenformsaregenerally used.

• Fixed-term employment contract. Inadditiontoemploymentforanindefiniteperiod,thepartiesmayoptfora

fixed-termemploymentcontractupto24monthsmaximum. For the first 12months of employment, there is no need to indicate any

reasonsinordertomakeuseofthistypeofcontract. In order to renew the employment contract beyond the first 12 months,

technical,productionorreplacementreasonsmustexist.Iftheemploymentrelationship continues beyond the thirtieth day from the expiry date, in

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thecaseofacontractlastinglessthan6months,orbeyondthefiftiethdayfromtheexpirydate,intheothercases,thecontractistransformedintoanindefiniteemploymentcontractfromtheexpiryoftheaforesaidterms.

Uponcommencementof theemployment,an insurancecoverencompassingbusinessrisksmustbearrangedwiththeIstitutoNazionaleInfortunisulLavoro[National Worker’s Compensation Institute] (INAIL) and several compulsoryregistrationsmustbeperfected.

The employee must also be registered with the Istituto Nazionale per laPrevidenza Sociale [National Social Security Institute] (INPS). The employermustopenasocialsecurityaccountforthepaymentofcontributionsdueforitsemployeesand,atthetimeofappointment,theemployerhastoprovideINAILand the competent employmentofficewith all thenecessary information. Insomecases,preventivemeasuresexist.

5.2 Applicable legislation according to the type of employment (differences between employment by a local company or by a head office for the local branch)

InprinciplenodifferencesexistwithregardstothelaborlawandsocialsecurityapplicabletoemployeesemployedbytheforeignparentcompanyandoperatingatthepremisesoftheItalianBranchordirectlybytheItalianSubsidiary.

5.3 Dismissal requirements and formalities

Both parties to the employment contract can terminate the employment relationshiponwrittennoticeof termination,whichmayprovide foranoticeperiod or not (depending on the reasons for the termination). An employercannotterminatetheemploymentatwill(unlessduringtheprobationperiod).

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An employer should always have a valid reason for withdrawing from theemploymentcontract,asintheabsenceofsuchitswithdrawalwillbeinvalid.Theterminationmustbeservedinwriting(otherwiseitisnull)andmustdisclosethereasonsforthedismissal.

Individualdismissalmaytakeplaceforsubjectivereasonsconnectedwiththeconductoftheemployee,orobjectivesituations,irrespectiveofwhetherornots/heisatfault.

Different procedures and compensation can apply for unlawful dismissalsdependingonthehiringdateoftheemployeeandhisrank.Themaindistinctionis between employees hired before 7 March 2015 and after that date, andbetween employees hired as white collar, blue collar and middle managers(quadri)andemployeesrankedasexecutives(dirigenti).

Notice periods for dismissals and resignations are provided by the nationalcollective bargaining agreements and vary based on seniority and rank.

Collective dismissal may depend solely on causes relating to the company,such as resizing or transformation of the business activities for economic ororganizationalreasons,andissubjecttospecialtradeunionprocedures.

Inallcasesofterminationofemployment,theworkerisentitledtoseverancepay(T.F.R.).

Italian rules applicable to employment with cross-border elements

Theapplicablelaborlawincasescontainingcross-borderelements(aforeignemployer,aforeignemployee,aforeignlawchoice...) ismainlygovernedbythetermsoftheRegulation(EC)No593/2008(RomeI)orbythetermsofthe

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ConventiononthelawapplicabletocontractualobligationssignedinRomeon19June1980.

Partiestoacrossborderemploymentrelationshipcan,undercertainconditions,choosea lawotherthanItalianlaw,althoughsuchchoicecannotdeprivetheItalian employee of the protection given by the normally applicable Italianmandatory rules.

Whennochoice ismade, the lawof thecountrywhere theemployeeusuallyperformsthelaborisappliedregardlessofthefactthatitconcernsemploymentbyabranch(withnoseparatecorporatepersonality)orbyasubsidiary(withaseparatecorporatepersonality).Thenormallyapplicable lawwill thusbe theItalian labor law.

Italian social security contribution

TheItaliansocialsecuritylawisofpublicorderandanemployeeissubjecttoItalian social security law when employed in Italy by an employer established in Italy,orwhentheemployerisestablishedabroadbuttheemployeeisemployedunderaROoraBranchinItaly.

TherelevantEUregulations883/2004and1224/2012concerningsocialsecurityrequirethattheemployeeissubjecttothelawofthecountrywheres/heworksin.

Animportantexceptionhoweverexistsinthecaseoftheposting(“secondment”)ofanemployeewhoisemployedinonecountrybuttemporarilyworksinanothercountry.Infact,anemployeeemployedunderanItalianemployertemporarilyworkingabroadisallowedtoremainsubjecttotheItaliansocialsecuritysystem,provided that the working activities abroad do not extend to a period exceeding 12 months.

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5.4 What are the main immigration rules applicable to foreign nationals intending to work or invest in Italy?

ForeignemployeesthatarenotEUcitizensmusthavearesidencypermittoworkinItaly.EmployeesortheiremployerscanrequestthepermitattheSportelloUnicoperl’Immigrazione.

Applicationproceduresvaryaccordingtothetypeofemployment.Theperiodcoveredbypermitsalsovary.Thenumberofpermitsthatareissuedislimited.Exceptionsaremadeforqualifiedemployeesandsecondedemployees.

Italyhasalsorecentlypassedanewsetoflawsprovidingforan‘investorvisa’forqualifyingforeignnationalsintendingtoresideinItaly.TheseareeligibletoapplyforsaidVisaunderthefollowingconditions:• Investmentofaminimumof2millioneuros inbonds issuedbythe Italian

government,retainingtheinvestmentforatleast2years;• Investment of a minimum of 1 million euros in shares issued by Italian

companies,retainingtheinvestmentforatleasttwoyears;• Investmentofaminimumof1millioneurosintheformofacharitablegiftto

sustainaprojectofpublicinterest.

The InvestorVisawillgranta residencepermitof twoyears, renewableuponexpiration for an additional maximum three-year period provided that theinvestmentisnotwithdrawn.FamilymembersoftheforeigninvestorcanobtainfamilypermitsallowingthemtoremaininItaly.

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6.1 CORPORATE INCOME TAX

6.1.1 When is a company subject to tax in Italy?

Tax resident companiesAcompanyisdeemedtoberesidentinItalyfortaxpurposeswhenitslegalseat,placeofeffectivemanagementormainbusinessactivityislocatedinItalyforthegreaterpart(thatis,atleast183days)ofthefiscalperiod.Italian resident companies are subject to Italian taxation on their world-wide income.

Non-tax resident companiesNon-residentcompaniesaresubjecttoItaliancorporateincometax(IRES)andregionalproductiontax(IRAP)onlyontheirItaliansourcedincome,thatisonlyfor the taxable incomegenerated fromtheir Italianpermanentestablishment(PE),ifany.

The Italian legislatorhasrecentlyreplacedthedomesticdefinitionofPEwiththeoneprovidedbyBEPSAction7.Moreover,under thenewPEprovision,asignificantandcontinuouseconomicpresenceintheItalianterritoryinawaythat it does not result in a substantial physical presence in the same territory mayanyhowconstituteaPE.

ThisimpliesthepossibilityofadigitalPEpresenceinItalyeveninthecasewhereaforeigncompanydoesnothaveaphysicalpresenceintheItalianterritorytotheextentotherfactorsindicatethatithasasignificantandcontinuouseconomicpresenceinItaly(e.g.,revenues,numberofcustomersetc.).

6.1.2 What are the main taxes that potentially apply to a business vehicle subject to tax in Italy (including tax rates)?

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Corporate income tax (IRES)The IRES taxable base is determined according to the worldwide taxationprinciple. Income is taxed in Italy to the extent that it is legally attributable to an Italianresidententityregardlessofwheretheincomeisproduced.IRES is charged on the total net income reported in the company’s financialstatementsasadjustedforspecifictaxrules.TheIRESstandardrateis24%.The Italian budget law 2019 introduced the possibility to reduce the IRESstandard rate from24% to15%, if thecompanymeets certainconditions (socalledMINIIRES).

Regional production tax (IRAP)IRAPisaregionaltaxonproductiveactivities.TheIRAPtaxablebaseisgenerallycalculatedasthedifferencebetweenbusiness incomeandbusinessexpensesexcludinginterestpayments.Somespecificcostsarenotdeductible.The IRAPstandard rateapplicable formanufacturingor tradingcompanies is3.9%.Thismayhoweverslightlyvaryfromregiontoregion.

6.1.3 How are Dividends paid to foreign corporate shareholders taxed?

Dividendspaidtoanon-residentcorporationaregenerallysubjecttoa26%finalwithholdingtaxunlesstherateisreducedunderadoubletaxationtreaty(DTT),ifapplicable,orthedividendsqualifyforanexemptionunderDirective2011/96-EUonthecommonsystemoftaxationapplicabletoEUparentcompaniesandsubsidiaries, as amendedbyCouncil Directive 2014/86/EU (AmendedParent-SubsidiaryDirective).

6.1.4 How are Interests paid to foreign corporate shareholders taxed? Italian-sourcedinterestspaidtoanon-residentisgenerallysubjecttoa26%final

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withholding tax. The withholding tax can be reduced under a DTT or eliminated under Directive 2004/76/EC, amending Directive 2003/49/EC on interest androyaltypayments(AmendedInterestandRoyaltyDirective),ifapplicable.

6.1.5 How are Royalties paid to foreign corporate shareholders taxed?

Royaltiespaidtoanon-residentcompanyaresubjecttoa30%withholdingtaxcalculated(generally)on75%ofthegrossroyalty,resultinginaneffectivetaxof22.5%.ThewithholdingtaxcanbereducedunderaDTToreliminatedundertheAmendedInterestandRoyaltyDirective,ifapplicable.

6.1.6 Are there any transfer pricing rules?

A residententerprise’sbusiness income isassessedon thebasisof thearm’slengthvalueofthegoodstransferred,servicesrenderedorservicesreceived,ifthatincomearisesfromtransactionswithnon-residentsthat:• Directly or indirectly control the resident company.• Areunderthecontroloftheresidentcompany.• Are controlled by the same entity that controls the resident company.

Theconceptof“control”isbroadlyinterpretedbytheItaliantaxadministrationand courts.

TheOECDguidelinesaregenerallyfollowedtodeterminethearm’slengthprice.Bothtraditionalmethods(comparableuncontrolledprice,cost-plusandresalepricemethods)andprofit-basedmethods(suchasthetransactionalnetmarginmethod)areusedandmaybeacceptablebasedonthespecificcircumstances.

Transferpricingdocumentationisnotmandatory.However,ataxpayercanobtainprotection against penalties for a transfer pricing adjustment by maintaining

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appropriate documentation and disclosing that it is in possession of thedocumentation by checking the relevant box in the annual income tax return.

6.1.7 What are the latest developments on Italian corporate tax legislation?

On28December2018,theItalianGovernmentadoptedtheLegislativeDecreetransposingtheEUAnti-TaxAvoidanceDirective(ATAD)intheItalianlegislation.

Generally,theDecreecontainsnewruleswithreferenceto:

Deduction of interest expensesTheDecree replacesArticle96of the ItalianTaxCode (ITC) regarding interestexpensedeductionrules.Thenewlanguagerephrasestheexisting30%earningsbefore interest, taxes, depreciation and amortization (EBITDA) limitationrulewithsomechanges,oneofthemainchangesbeingthereferencetoataxadjustedEBITDA(andnolongertoanaccountingEBITDA).

The final version of the Decree abolishes a number of minor exceptions bymakingtheordinary30%EBITDArulefullyapplicabletorealestatecompaniesand,more ingeneral, inthecaseofexpensesassociatedwiththe issuanceofcertain debt securities.

Exit taxationThenewrulereiteratestheexistingexittaxationprovision(Article166ITC)withsomeexceptions.Amongthevariousdifferenceswiththeoldrule,theDecreeno longer allows the deferral of capital gain taxation onmigrations to EUorEuropeanEconomicAreajurisdictions.

Inbound migrations of foreign companies or individual entrepreneurs Thenewrulereiteratestheexistingprovision(Article166-bisITC)byclarifying

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the tax basis recognized by Italy upon entry. The final version of the Decreealsomakes thisprovisionapplicable to taxpayersother than companies, likeindividual businesses.

CFCsThe new rule mainly restates the existing one (Article 167 ITC). The finalversionoftheDecreeclarifiestheconceptof“passiveincome”byincludingtheincomederivedfromthesaleofgoodstorelatedpartiesandbyclarifyingthe conceptof “low-value services”by reference to Italian transferpricingregulations.

Dividends and capital gainsThe Decree introduces some changes to the existing rules applicable to Italian companies deriving foreign dividends and capital gains from the disposal offoreignsubsidiaries.

New rules on hybrid mismatchesThe Decree introduces a new set of anti-hybrid mismatch rules aimed atcontrasting the phenomena of “double deduction” and “deduction withoutinclusion”derivedfromconflictsinthequalificationofcertainarrangementsortransactions between one or more tax jurisdictions.

Digital Service TaxTheItalianbudgetlaw2019(theLaw)introducesa“new”Digitalservicetax”(DST).

TheentryintoforceofsuchnewDSTisconditionalupontheissuancebytheMinisterofEconomyandFinance-MEF-ofasecondarylegislation.Therefore,suchnewDSTisexpectedtocomeintoforceafterJune2019.

TheDSTseemstobeaimedattargetingrevenuesfromdigitalservicessuchas:

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a) the placing on a digital interface of advertising targeted at users of thatinterface;

b) themakingavailabletousersofamulti-sideddigitalinterface,whichallowsusers to find other users and to interact with them and which may alsofacilitate theprovisionofunderlying suppliesof goodsor servicesdirectlybetween users

c) the transmission of data collected about users and generated fromusers’activitiesondigitalinterfaces

Taxableentitiesarebusinessesundertakingthat,duringataxableyear(definedasasolaryear),individuallyoratthegrouplevelrealizes:i. atotalamountofworldwiderevenuesreportedfortherelevanttaxableyear

exceeding€750.000,00;andii. a total amount of taxable revenues within the Italian territory during the

relevantfinancialyearexceeding€5.500.000,00.

Taxrateis3%oftherelevantrevenues.

RevenuesfromDigitalServicesarelocatedbasedonuserlocationintheItalianterritory.

TheDSTiscollectedbywayofself-declarationbythetaxableperson(noWHTisapplicable)tobefiled4monthsaftertheendofeachtaxableyear.TheDSTdueforeachquartermustbepaidtothetaxauthority1monthsaftereachquarter.

Foreigntaxpayers-performingbusinessactivitiesinItalywithoutapermanentestablishmentandaVATidentificationnumber-thatinataxperiodaresubjecttotheDSThavetoasktheItalianRevenueAgencyfortheDSTidentificationnumber pursuant to the guidelines that in the next months will be issued by theIRA.

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6.2 INDIVIDUAL INCOME TAX

6.2.1 In what circumstances is an employee taxed in Italy and what criteria are used?

Tax resident individualsForincometaxpurposes,anindividualisdeemedtoberesidentinItalyiftheyare enrolled on the list of the Italian resident population, or are resident ordomiciledinItalyformorethan183daysinayear.ItalianresidentsaretaxedinItaly on their worldwide income.

Non-tax resident individualsNon-residentsaretaxedonlyonincomeofanItalian-source(doubletaxtreatiesmayapply).EmploymentincomeisconsideredassourcedinItalyiftheworkiscarried out in the Italian territory.

Taxes on employment incomeIncomefromemploymentisordinarilysubjecttotaxationthroughwithholdingtax(atprogressivetaxrates)applieddirectlybytheItalianemployer.

If no Italian employer exists, employment income must be included in theemployee’s tax return subject to ordinary rules. Thismay be the case of anindividual resident or working in Italy who are employed by a non-resident entrepreneur.

The progressive tax rates applicable to taxable income are:

• Lessthan€15.000,00:23%.• Above€15.000,00andlessthan€28.000,00:27%.• Above€28.000,00andlessthan€55.000,00:38%.

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• Above€55.000,00andlessthan€75.000,00:41%.• Above€75.000,00:43%.

A special regime is applicable for inbound employees and, if all the relevantrequirementsaremet,50%oftheirItaliansourcedincomefromemploymentistax exempt.

Another special regime may be applied to inbound researchers and highly skilled employees,providingfortaxexemptionon90%oftheirItaliansourcedincomefromemployment.

Under certain conditions, nonresident individualsmoving their tax residencein Italy,whohavenotbeenresident in Italy forat leastnineof10fiscalyearspriortotheyearinwhichtheindividualmoveshis/hertaxresidencetoItaly,mayapplyfora€100.000,00lump-sumtaxontheirincomeearnedabroadwiththepossibilityofextendingthetaxregimetofamilymembers(withaflatrateof€25.000,00). Tax Incentives on investmentsThere are ongoing tax incentives being launched by the Italian Government to enhanceforeignbusinessinvestmentsandreducethetaxburdenforbusinesses.OneofthemajortaxincentiveslaunchedbytheItalianGovernmentiscertainlythePatentBoxRegimeforR&Dcompanies.

ThisregimeallowsR&Dcompaniestoremainexemptfromtaxon50percentof income deriving from the exploitation of selected intellectual property(IP). It alsoallowsR&Dcompanies to remainpartiallyexempt from taxoncapitalgainsderivedfromthesaleof that IP,providedthatat least90percentofthesamecapitalgainsarereinvestedintootherassetsofthesametype.

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Taxes on income derived by independent contractorAsofJanuary2019,theItalianlegislatorhasalsointroducedaflattaxatarateof15%onincomederivedbyindependentcontractorsand/orsoleentrepreneursthat are subject to Italian individual income tax (IRPEF). Basically, said flattax replaces entirely the progressive individual income tax rates that would have otherwise been applicable, provided that the revenues derived by saidindividualsdonotexceed€65.000,00inthegivenyear.

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Printed in Italy on January 2019

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Assisting Italian clients abroad and foreign clients in Italy Enzo Bacciardi

Senior Partner

Lorenzo BacciardiManaging Partner

Tommaso ManciniPartner

Tommaso FontiPartner

Alberto GhelfiPartner

Bacciardi and Partners is a business law firm based in Italy focusing on cross-border commercial, corporate and M&A transactions, employment, tax and customs law.

Bacciardi and Partners maintains more than forty years of proven experience and operates with a team of over 16 professionals, providing strategic legal and tax advisory to Italian and foreign companies doing business across borders. Bacciardi and Partners is organized in specialized departments in the following areas:

• Domestic and International Trade and Contract Law;

• Cross-Border Corporate Law; Corporate Finance; Merger & Acquisition;

• International Tax Law; Expatriates and Inpatriates;

• Customs and Transportation Law;

• International Litigation and Arbitration.

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