Amendments to the Estonian Commercial Code

On 1 January 2006 extensive amendments to the Estonian Commercial Code (hereinafter: CC) entered into force, which inter alia deal with the foundation of a company; the principles regarding the general meeting of shareholders of a company and meetings of the management board and the supervisory board; the liability of members of management bodies; remuneration of members of management bodies; the pledging of shares of a private limited company; and the procedure for transformations, divisions and mergers of a company.

Below is a brief summary of several of the key amendments of the CC effective as of 1 January 2006.