Recent amendments to the Civil Code concerning contracts of lease have bolstered the rights of lessors of aircraft such that they are now not materially different to those granted to the holders of security interests in terms of the Cape Town Convention. Aircraft leases are now akin to security interests and grant important rights and remedies to lessors and financiers. The changes better reflect the commercial realities underlying the aircraft lease relationship and should continue to improve Malta's legislative framework in this area.
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.
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.
In response to the recommendations of a legal group commissioned by the Ministry for Infrastructure, Transport and Communications, the Maltese government is proposing to ratify and implement the Cape Town Convention on International Interests in Mobile Equipment and the Aircraft Protocol thereto. Ratification of the convention will go some way towards making Malta a more attractive jurisdiction for aircraft registration.
Emulating the success of its Shipping Register, Malta is committed to establishing itself as a leading jurisdiction for aircraft registration. Plans were recently announced to reform the local regulatory framework and develop the registration of aircraft into a niche sector, with the potential of spearheading the creation of a cluster of aviation services.
In 2009 some 48,520 companies and partnerships were registered with the Registry of Companies. The number of registered companies has been rising steadily over the past few years. The number of companies which can be legally defined as 'public' account for only a fraction of total registrations; therefore, the main reason for the lack of listed equity is not the exchange, but rather the reluctance of family companies to go public.
The will of the majority or the majority rule is an established general principle of company law that ensures that any decisions taken by the company conform to the will of the majority of the shareholders; the same shareholders who share a common (financial) incentive to see that the company thrives. Though a seemingly obvious and well-adjusted rule, it does have its flaws and is not immune to abuse.
The minister of finance, economy and investment recently delivered the 2012 budget speech and announced a number of fiscal measures aimed at incentivising investment and business, among other things. A significant number of fiscal incentives will be introduced with the aim of further encouraging investment in Malta, as well as attracting the necessary talent required to encourage growth in key areas.
The minister of finance, economy and investment recently delivered the 2011 budget speech and announced a number of fiscal measures aimed at incentivising internationalisation, investment and business, among other things. The measures are being introduced against a backdrop of positive economic growth as a result of strong export performance and development in the domestic sector.
In the recently delivered 2010 Budget Speech the minister of finance announced a number of fiscal measures aimed at incentivizing investment and business. Among other things, the measures are intended to promote investment, research and development and environmental protection, and to tighten anti-abuse provisions to prevent certain aggressive tax-planning schemes.
In the past few years the legislature has been active in the sector of fiduciary obligations, particularly those resulting from the creation of trusts and foundations. Foundations have always been regulated by customary law, since no legislation on foundations existed until 2008, when the Second Schedule to the Civil Code was enacted. This schedule dedicates an entire subtitle to foundations.
'Estate planning' is defined as the process of anticipating and arranging for the disposal of an estate. It involves people that could be family members, other individuals or charitable organizations of your choice. It also involves your assets in whatever kind or form. By placing your assets into trust, specific provision can be made by which your objectives can, if possible, be guaranteed.
Most people have heard of trusts and foundations that are available to private individuals in Malta. However, not everyone is familiar with all that these two structures have to offer. It is likely that once the main characteristics of these two vehicles are understood, they will be used more confidently and the possibilities offered will be endless.
Parents often create trusts for the benefit of a child as beneficiary of the trust. In such cases an independent trustee has exclusive authority to decide on the manner in which the trust funds are managed and made use of for the beneficiary's benefit. This may provide peace of mind for parents who are reluctant to leave a lump sum to a reckless or spendthrift child, or who want to provide for their mentally or physically disabled child.
The social, political and economic changes seen worldwide have led to new questions and raised expectations regarding corporate social responsibility. Companies' corporate social responsibility may take various forms and may be carried out through various institutes. The Maltese foundation, when set up as a voluntary organization, provides an ideal vehicle for corporate social responsibility.