Less than 100 days to go – Now it is time to do a Brexit due diligence
After almost two years of negotiations, months of parliamentary debates and a five-week delay, the MPs yesterday voted down the agreement with the EU on the transitional period. It is thus an overwhelming risk for a no deal situation on 29 March 2019.
A no deal situation will have considerable consequences for the relationship Norway and Norwegian businesses have with the UK. It will inter alia imply that the rules on free movement (goods, services, persons and capital) will cease to be in force as the main legal framework for trade between Norway and the UK. In that scenario, we will fall back on the WTO rules for trade between our two countries, and Norwegian businesses can risk coming up against challenges such as tariffs/customs duties and other barriers to trade, documentation requirements and inspections of goods and persons at the border.
Experience shows that doing business during periods of economic or political uncertainty can give rise to unique challenges. Norwegian companies doing business in the UK and/or with UK companies should therefore take initiatives to meet these challenges.
Brexit will have significant practice and sector impact. It will affect, inter alia, contracts, commercial/trading law, competition, financial services, M&A, tax, employment law and intellectual property.
You should consider a Brexit DD if your company inter alia:
- Has subsidiaries in the UK
- Has exports to and/or imports from the UK
- Has existing contracts involving UK companies
- Relies on UK workers or service providers
- Has intellectual property rights in the UK
- Relies on financial services by a UK based provider
- Has transferred personal data to the UK
- Has any potential UK M&A targets or is a target from a UK company
Our Brexit team has in-depth knowledge of the legal and economic implications of Brexit and advises businesses on the impact Brexit may have on them. With offices in London and Oslo, we are well placed to advice on how to run a Brexit DD and then implement recommendations flowing from that exercise.
M : +47 901 68 150
T : +47 23 01 19 40
M : +44 777 166 5372
T : +44 208 078 9497
M : +47 918 40 360
T : +47 23 01 18 84
Jon Kristian Sjåtil
M : +47 926 87 587
T : +47 23 01 18 62