This briefing is second in a series on the Corporate Sustainability Due Diligence Directive (CSDDD), which addresses the key aspects that (in)directly affect businesses both within and outside the EU, explore its interplay with the existing legislation in Germany and examine interactions with other  recently adopted acts of EU legislation (e.g., EUDR and CSRD), which partially establish overlapping obligations.

This briefing is the first in a series on the Corporate Sustainability Due Diligence Directive (CSDDD) that BLOMSTEIN will be publishing over the coming weeks. We will address the key aspects that (in)directly affect businesses both within and outside the EU, explore its interplay with the existing legislation in Germany (LkSG) and examine interactions with other acts recently adopted EU legislation (e.g., EUDR and CSRD) which partially set overlapping obligations.

Restriktive Maßnahmen oder „Sanktionen“ stellen ein wichtiges Instrument der Gemeinsamen Außen- und Sicherheitspolitik der EU dar. Insbesondere die seit Februar 2022 kontinuierlich ausgeweiteten Russland-Sanktionen haben dazu geführt, dass die sanktionsrechtliche Compliance ein neues Maß an praktischer Bedeutung gewonnen hat. Absehbare Verschärfungen mit Blick auf Russland und den Iran verstärken diesen Trend. Hintergrund der hierbei zurecht gestiegenen Sensibilität ist auch, dass Verstöße gegen EU-Sanktionen oftmals als Ordnungswidrigkeiten oder Straftaten geahndet werden und nicht nur für die beteiligten Unternehmen, sondern auch für einzelne Mitarbeiter persönliche Konsequenzen haben können.

Did you know that exporting lipstick under the wrong circumstances could get you in serious trouble? As innocent and trivial as they may seem, lipstick and many more so-called fast moving consumer goods (FMCG) are often covered by several export restrictions. As a result, the export of these goods may be subject to authorisation requirements or entirely restricted, with hefty fines and other sanctions associated with non-compliance. In this instalment of our briefing series on FMCG, we highlight how export control law applies to FMCG and what pitfalls you should be wary of.

Zu Beginn des Jahres verabschiedete die Europäische Kommission (Kommission) eine delegierte Verordnung zur Einführung der Verbindlichen Zollwertsauskunft (VZWA, im Englischen: Binding Valuation Information, BVI) in das EU-Zollrecht. Diese sollen das bewährte System zur Erteilung von Verbindlichen Ursprungsauskünften (VUA, im Englischen: Binding Origin Information, BOI) und Verbindlichen Zolltarifauskünften (VZTA, im Englischen: Binding Tariff Information, BTI) ergänzen. Der verabschiedete Text ändert die Delegierte Verordnung (EU) 2015/2446, indem er die neuen BVI und Regeln zu deren Handhabung integriert. Parallel soll zudem bald eine Änderung der Durchführungsverordnung (EU) 2015/2447 erfolgen und den Weg für die elektronische Verwaltung von BOI und BVI bereiten.

As announced in January, BLOMSTEIN is publishing a series of briefings introducing into European and German legal defence matters. In our last briefing, we shared some insight into the Bundestag’s ominous requirement (and its legality) to separately approve any defence procurement with a volume above EUR 25 Mio.

Today’s topic concerns export controls on the defence and arms industry. They are a critical component of national and international security efforts. They involve strict legal frameworks and regulatory mechanisms to ensure that the export of certain goods remains in line with the interests of the nations from which the goods originate. This overview provides an insight into the basic components of the legal framework established in Germany.

Lobbying is an everyday reality in politics and constitutes an integral part of democracy. However, in the recent past, several lobbying scandals have revealed deficits in the transparency of lobbying – also in Germany. In particular, lobbying was often not subject to public scrutiny. To counteract the deficits, the German Bundestag has passed the German Lobbying Register Act in 2021. It obliges lobbyists to sign up in a Lobbying Register and publish certain information in connection with their lobbying activities. Recently, the German Bundestag has amended the Act, inter alia by extending the scope of the obligation to register. The changes will come into force on 1 March 2024. They constitute additional obligations both for companies which are already registered in the Lobbying Register as well as new obligations to register for companies which do not have a Lobbying Register entry yet. As violations of obligations under the Lobbying Register Act can be sanctioned with harsh fines up to EUR 50.000 and there is also a risk of considerable reputational damage, it is crucial for companies to ensure compliance with the new rules.

Fast schon unter dem Radar vollzog der Europäische Gerichtshof (EuGH) mit seinem Urteil vom 30. November 2023 (C-787/22 P) eine Kehrtwende bei der europäischen Rechtsprechung zum Zugang zu OLAF-Akten. Das Gericht bestätigte in seinem Revisionsurteil, dass Betroffenen auch während einer laufenden Untersuchung Einsicht in die relevanten Dokumente der Untersuchungsakte gewährt werden muss.

As part of its rollout of the European Economic Security Strategy adopted last year (on which we reported in a previous briefing), the European Commission (Commission) has published a package of planned initiatives aiming to enhance the EU’s economic security. The official communication highlights how the Commission views the package as a comprehensive approach to strengthen the EU’s response capacity to various risks linked to FDI into the EU, outbound investments as well research security and dual-use goods. Accordingly, the unveiled initiatives address the following areas.

As part of the European Economic Security Strategy, the EU proposes a revision of the Regulation (EU) 2019/452 (Proposed Regulation). The reform is motivated by the need to enhance the protection of security and public order in the face of growing geopolitical challenges and the recognition that certain investments, which are not adequately screened under the current system, could pose risks to EU interests. Here are the key points of the reform.