Fenech & Fenech Advocates updates

Temporary Agency Workers Regulations: changes on the horizon?
Fenech & Fenech Advocates
  • Employment & Benefits
  • Malta
  • 19 September 2018

If enacted, a recently published legal notice will introduce amendments to the Temporary Agency Workers Regulations, including expanding the concept of assigned temporary workers, redefining 'pay' and removing the equal pay rule exception. This article summarises the proposed amendments to the regulations and raises some pertinent questions.

New (now suspended) legal notices
Fenech & Fenech Advocates
  • Employment & Benefits
  • Malta
  • 19 September 2018

Four new legal notices affecting employment laws were recently published in the Government Gazette. Whether the notices must be considered as law and enforceable before the Maltese tribunals and courts is now the subject of debate. However, it is clear that the government intends to introduce some piecemeal changes that will affect employers significantly, including new rules on payslips that all employers – irrespective of size – must issue and new limitations on holiday leave arrangements.

Judicial sale by auction of Indian Empress
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 05 September 2018

The June 2018 sale of the Indian Empress has attracted the attention of the superyacht community worldwide and international brokers, the international yachting media and potential owners and creditors of the yacht are watching this space very closely. This was the first time that a Maltese court ordered bidders in a judicial sale by auction of vessels to make a cash deposit in court prior to the sale taking place and the first time that a bidder was held liable for the payment of the difference.

Protection of third-party owners of installed engines
Fenech & Fenech Advocates
  • Aviation
  • Malta
  • 08 August 2018

While the rights of third-party owners of installed engines were recognised prior to amendments introduced in 2016, the protection of those rights was subject to serious procedural limitations which came to light in several related cases. Following the decisions in these cases, the law was amended so that it is now provided that the court seized with the acts of a warrant of arrest of an aircraft will also be competent to hear an application by the owner of an installed engine which does not belong to the aircraft owner.

Is a bunker delivery note a binding contract under Maltese law?
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 20 June 2018

Following the collapse of OW Bunkers, physical bunker suppliers worldwide have had to rethink their business model with respect to the potential debt exposures that they face when conducting business through bunker traders. The matter is further complicated due to the fact that in many cases, there is not just one bunker trader involved, but rather a series of intermediaries, brokers and intermediary traders.

Legislative changes: tax deduction for transportation costs
Fenech & Fenech Advocates
  • Employment & Benefits
  • Malta
  • 23 May 2018

Maltese income tax legislation provides specific rules for determining the types of expense that are deductible against income. Legal Notice 67 of 2018 on tax deductions for employee transportation costs provides for a new tax deduction. The new rules will apply to transportation costs incurred for the transport of employees from assessment year 2018 and will remain in effect until assessment year 2020.

Legislative changes: ship sale contracts and charterparties
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 22 November 2017

While primarily introduced to amend and update the Aircraft Registration Act and other ancillary-related laws, Act LII/2016 also promulgated particular amendments which go beyond aviation law into the realm of shipping. These recent changes are making Maltese law an ideal legal regime to govern and regulate disputes which may arise under certain types of shipping contract – namely, ship sale and purchase agreements, promise of sale agreements and charterparties.

New guidelines on private yachts carriage capacity
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 12 April 2017

At the start of 2017 Transport Malta, the authority responsible for the administration of the Malta flag, introduced new guidelines that allow more than 12 persons on board privately registered yachts. The new guidelines stem both from a recognition that there is a gap in the superyacht market and the administration's continued effort to remain at the forefront as a leading yachting flag.

Court lifts physical bunker supplier's arrest of vessel
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 22 March 2017

Following the issuance of a provisional arrest warrant at the request of a physical bunker supplier, the Maltese court determined that it was not vested with jurisdiction in rem and accordingly lifted the arrest. This judgment sheds important light on the onus of proof with which an arresting creditor is burdened. The court held that it was insufficient merely to procure evidence of knowledge of the supply or proof of acceptance of the product from the supplier.

'Maritime Malta' – legal perspective
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 30 November 2016

The term 'Maritime Malta' perfectly describes Malta – a country which has always had close connections with the sea and maritime sector. In addition to its strategic position, Malta has a stable and reliable legal regime and laws which give investors and their financiers a high degree of confidence. These achievements are a direct result of careful planning, a strong workforce that is prepared to deliver value for money and a 'can do' attitude.

Unnecessary risks constitute breach of marine insurance policy
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 27 April 2016

The Maltese Civil Court recently held that underwriters need not make payments under an insurance policy when the loss or damages occurred due to a fault or negligence on the part of the assured and where the assured's behaviour constitutes a breach of policy. This judgment highlights the importance of ensuring that owners are familiar with the content of their insurance policies – in particular, with the responsibilities arising thereunder.

Animo compensandi purchase of a vessel sold by court-approved private sale
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 02 March 2016

In a recent court-approved private sale, the Maltese Civil Court unprecedentedly permitted a mortgagee to purchase a vessel animo compensandi, meaning that rather than paying the purchase price from its own pocket, the amount was offset against the existing debt owed to the mortgagee. This judgment is significant, as it offers mortgagees more flexible enforcement options.

Wrongful arrest of ships – part two
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 23 December 2015

While the arrest of vessels is an exceptionally effective and powerful tool which genuine creditors have every right to use, it is paramount that the rule of law is observed and the law's high standards are maintained. Otherwise, there is a risk of increased lawlessness. The Maltese courts have addressed arresting parties' failure to follow the law in several cases, taking immediate action to correct any misinformation.

Penalty proceedings following escape of arrested vessel
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 30 September 2015

A Maltese civil court recently considered whether the penalty proceedings under Article 865 of the Code of Organisation and Civil Procedure can be brought against a vessel in rem. The court found that such proceedings can be commenced only against the person or persons that removed the vessel from Maltese waters in violation of the court order, not against a vessel in rem.

Aviation finance and security interests in Malta: a new impetus
Fenech & Fenech Advocates
  • Aviation
  • Malta
  • 08 July 2015

Over the last few years, the government has sought to promote the development of the aviation sector through the introduction of legal and administrative infrastructure modelled on the common law system and international conventions, including the adoption of the Cape Town Convention, the creation of a dynamic aircraft and mortgage register and the introduction of comprehensive laws on trust.

Wrongful arrest of ships
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 06 May 2015

A recent case has highlighted a weakness in Maltese law in relation to the right to claim damages resulting from an illegal arrest. Despite finding that the arrest was illegal, the court stopped short of ordering reparations because it held that the defendants' failure to satisfy the criteria outlined in Article 742(D) Code of Organisation and Civil Procedure was not malicious, frivolous or vexatious and thus no damages could be sought.

Malta – logical choice for superyacht owners
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 15 April 2015

The third annual Opportunities in Superyachts Conference was recently held in Malta. Over the past eight years Malta has enjoyed success within the superyacht sector, steadily increasing the size of its registered fleet and the number of yachts which benefit from the solutions offered by the jurisdiction. As such, the conference largely focused on what Malta offers owners and operators of private and commercial yachts.

Court-approved private sales
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 18 March 2015

In 2006 the Organisation and Civil Procedure Code was radically overhauled in relation to the provisions governing Maltese enforcement mechanisms, among other things. The changes to enforcement mechanisms included the introduction of court-approved private sales, under which mortgagees can source private buyers at the highest possible agreed price and, on court approval, sell vessels free and unencumbered.

Bunkers excluded from judicial sale on basis of retention of title clause
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 11 February 2015

The Civil Court recently upheld a request to have bunkers supplied to the defendant vessel excluded from a court-approved private sale on the basis that retention of title clauses existed, which governed the supply of the bunkers. The decision demonstrates that the inclusion of retention of title clauses can help to mitigate any possible losses in relation to bunkers.

Malta – a reputable flag of choice
Fenech & Fenech Advocates
  • Shipping & Transport
  • Malta
  • 13 August 2014

With its centuries-old maritime tradition and as an EU member state, Malta has become the largest European maritime flag and also the seventh largest flag worldwide. Thanks to the unstinting efforts of the government and the maritime industry, Malta has developed into a reputable flag of choice and quality, which offers a wide array of international maritime services and fiscal incentives.

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