On its road to recovery, Iraq has witnessed an avid influx of foreign investment in its economy. With the ongoing developments in Iraq's legal infrastructure, it is anticipated that further regulations concerning international dispute resolution and judicial cooperation will be enacted in order to create a legal environment suitable for the country's attractive investment opportunities.
Consequent differences between Federal Iraq and the Kurdistan Region of Iraq in the application of commercial agency legislation have surfaced following the ratification of the new Commercial Agency Law by the Iraqi Parliament. While this new law has replaced the old Commercial Agency Law in Federal Iraq, it is yet to be deliberated by the Kurdish Parliament, where the old law remains applicable for all commercial agency matters in the Kurdistan Region of Iraq.
In light of the current humanitarian crisis and the large number of refugees that have entered the Kurdistan Region of Iraq, the presence of non-governmental organisations (NGOs) is vital in order to assist affected local communities and refugees. As the call for aid increased, the number of registered NGOs in the Kurdistan Region has surged. In this respect, NGOs must comply with applicable laws and regulations in order to secure a legal presence in the region.
After the recent economic slowdown mainly caused by ISIS-related security concerns and the reduction in oil prices, the Kurdistan regional government has taken several measures to ensure that all taxes are being collected. These measures include a recent public notice announcing that all companies that fail to file their audited financial statements and pay their taxes before June 30 2016 will be taken to court.
Twenty-eight years after the enactment of the Labour Law (71/1987), Parliament voted on the new Labour Law (37/2015). Considering the fundamental differences between the governance system and business environment surrounding the promulgation of both laws, they naturally differ on several points. Understanding these differences is essential for the organisation of companies' relationships with their employees and the adjustment of underlying employment agreements.
The liquidation of a limited liability company (LLC) is undoubtedly a complicated and lengthy process, but nonetheless includes many safeguards to guarantee the rights and obligations of the company with regard to third-party debtors and creditors. The process for liquidating an LLC includes appointing a liquidator, submitting the reasons for liquidation, fulfilling any obligations under the liquidation process and settling the company's debts.