All online businesses need to be aware of their obligations under the Data Protection Act 1990. The Information Commissioner’s Office has produced an online code of practice to explain how the DPA 1998 applies to the collection and use of personal data online. It also provides good practical advice for organisations that do business online. The code can be found at www.ipo.gov.uk.
You are currently browsing the Paris Smith LLP Legal Blog archives for July, 2010.
Directors must be aware of anti-competitive practices
July 30th, 2010 by Douglas CooperThe Office of Fair Trading (OFT) have published revised guidance on competition disqualification orders (CDOs) and with it, a warning that it intends to “actively seek disqualification of directors found to have engaged in anti-competitive behaviour or who ought to have known it was going on”
It is therefore clear that directors must retain a good grasp of competition law and ensure that their company has adequate policies and procedures in place to prevent it from falling foul of UK and EU competition law.
The guidance makes it clear that ignorance is not an excuse and the OFT will be just as concerned with directors who ought to have known of competition law breaches as those whose conduct contributed to the breach. In considering whether a director “ought to have known” of the breach, the OFT is likely to take into account:
- The director’s role in the company;
- The relationship of the director’s role to those responsible for the breach;
- The general knowledge, skill and experience possessed by the director and that which a director in his position should possess; and/or
- The information available to the director.
The guidance enables the OFT to accept undertakings in place of disqualification and to give immunity where a director co-operates with an OFT investigation.
The OFT has indicated that the changes are not intended to place a higher burden on particular directors but, given that the role of the director will be taken into account, it seems that directors with compliance responsibilities and those involved in sales, distribution and marketing (who naturally are more likely to be aware of anti-competitive practices) will be in a more vulnerable position.
It is acknowledged that directors are not expected to be experts in competition law and the OFT have promised to publish some guidance setting out what a director is expected to know. In the meantime, if a director is concerned that practices within their business may be anti-competitive, specialist advice should be obtained.
Undeclared Offshore Income – Lichtenstein Disclosure Facility
July 27th, 2010 by Amanda ScallyAs a result of an agreement between the UK and Lichtenstein in August 2009 any UK taxpayer who has an account in Lichtenstein will be contacted by their bank. The letters from the Lichtenstein Financial Intermediary will require UK taxpayers who have undeclared assets in accounts in Lichtenstein to show that they are complying with their UK tax obligations, that they do not have a UK tax liability or to make a disclosure under the Liechtenstein Disclosure Facility (LDF) being run by HM Revenue & Customs (HMRC). If the UK taxpayer does not comply with this their account will be closed.
The LDF offers reduced penalties to individuals with undeclared income or gains if they make full disclosure to HMRC. There may also be inheritance tax savings if assets have been inherited prior to 1999. If you have any offshore accounts in other jurisdictions you may be able to make disclosure under the LDF by transferring assets to Lichtenstein.
For further information please contact Amanda Scally at Paris Smith on 023 8048 2293.
Dementia Awareness Week
July 6th, 2010 by Elizabeth PowerThis week is “Dementia Awareness Week” (4th July – 10th July).
Dementia is a term used to describe various brain disorders that have in common a loss of brain function that is usually progressive and eventually severe.
There are about 750,000 people in the UK with Dementia. So there is every likelihood that each of us knows someone who has it.
With the loss of brain function may come the loss of the person’s ability to manage their financial affairs. This is when Lasting Powers of Attorney (“LPA”) can be of great assistance because it enable the person to appoint an Attorney (of his/her own choice) to manage their financial affairs, pay bills etc for that person.
If however, the person does not have a Lasting Powers of Attorney and it is now too late for them to have one, because they are no longer able to manage their affairs and so not understand what a LPA is, then an application can be made to the Court of Protection for someone to be appointed as a “deputy” to manage that person’s affairs.
If you would like further information about Lasting Powers of Attorney and/or the Court of Protection please contact:-
Elizabeth Power
Paris Smith LLP
Number 1 London Road
Southampton
SO15 2AE
Telephone: 023 80482 206
Email: elizabeth.power@parissmith.co.uk
Unmarried cohabiting couples urged by Law Society to seek advice
July 2nd, 2010 by Amanda ScallyFollowing a recent case where a man who had split up with his cohabiting partner 17 years ago and was awarded a half share in the house they once lived in, even though he had never paid the mortgage, the Law Society has released a statement saying that all unmarried couples are at risk if they don’t plan or prepare for all eventualities when co-habiting or combining assets.
If you are buying a property together it is important to agree in writing each person’s share at the beginning and to record any extra contributions made by one party over the other, for example where one person pays all the deposit. We can assist by drawing up a simple document showing each party’s share. This will protect each party in the event that they stop living together, and also in the event of the death of one party, from potential claims by the deceased’s estate. For more information contact Amanda Scally at Paris Smith.