Newsletter:
"Newsletter Corporate Governance Structures (October 2019)"

Newsletter Corporate Governance Structures (October 2019)

Published: (Sat) 05 Oct 2019

The Japanese Companies Act (JCA) offers several types of corporate governance schemes, which are mainly designed for public 􏰃large􏰆 corporations (i.e. companies with a paid-in share capital of JPY 500 million or more, or liabilities of JPY 20 billion or more), as such companies are obliged to implement a corporate governance structure prescribed under the law. However, also for private companies voluntarily adopting a corporate governance structure prescribed under the JCA (e.g. by establishing a board of statutory auditors etc.) the provisions of the JCA are applicable and the options are defined by what is stipulated in the JCA. There exist now basically three alternative governance schemes a stock corporation can choose from, the latest having been introduced in 2015. These comprise the following: (1.) The establishment of a Company with a Board of Statutory Auditors; (2.) The Committee-type Company; and (3.) The Company with Audit and Supervisory Committee.

While the first alternative is the oldest and still most prevailing structure, the newer options, which have been introduced to improve deficits under the existing scheme, are gaining more popularity, which is particularly true for the most recent type (3.). This newsletter describes the available corporate governance schemes as prescribed by the law. It should be noted that due to the complexity of the newer schemes, most private stock corporations still opt for the traditional structure as described under (1.).

 

Continue Reading (PDF)

More Newsletters…

Newsletter Labor Law Work-Style Reform (January 2019)

After a number of prominent fatalities that have been linked to excessive working hours at some of Japan’s largest corporations in 2015 / 2016 and increasing public pressure, the government initiated a so-called “Work-Style Reform”. The reform aims at reducing excessive overtime hours of employees in order to prevent stress-induced illnesses and nourish a more balanced work-life culture. At the same time, the government strives to bring more flexibility to the labor market and increase productivity as Japan is facing an unprecedented socio-economic challenge with its aging population and shrinking labor force.

OPEN PDF
read more

Newsletter Common Misconceptions about GDPR (November 2018)

The European General Data Protection Regulation (GDPR) has come into effect on 25 May 2018. Due to its broad scope and its implications for the processing of personal data inside and outside of the EU, the GDPR has drawn attention on a global level. Since the GDPR has come into effect only recently, there are still many questions about the implementation and enforcement of the new rules. While some concerns turn out to be unfounded, a thorough investigation of the GDPR is imperative for companies around the globe doing business with Europe. This newsletter addresses frequent questions and miscon- ceptions about the GDPR with a focus on Japanese companies doing business with Germany.

OPEN PDF
read more

Newsletter Data Protection (February 2018)

Due to the continuing digitalization of society and business the issue of data protection gains increasing importance also from a legal perspective. Faced with the rapid technological developments, Japan has reformed the Japanese Data Protection Act („Act on Protection of Personal Information“ – „APPI“), which has become effective on 30 May 2017 (“Amendment”). The Amendment is the first major reform of the APPI since its enactment in 2005. This special newsletter provides an overview of the main changes to the APPI as well as the measures companies need to consider in light of the Amendment.

OPEN PDF
read more