The Working Group on Company Law is responsible for legislation contained in Annex XXII of the EEA Agreement.
Company law and corporate governance, as well as accounting and auditing, are essential for the good functioning of the Internal Market. They foster efficiency and competitiveness in business and promote cross-border cooperation between companies in different Member States.
The body of acts on company law covered by Article 77 of the EEA Agreement exists to a large extent to facilitate the exercise of the right of establishment. There is a legal framework in the EEA Agreement for different types of European companies. These statutes allow companies incorporated in several EEA Member States to merge or form a joint subsidiary or holding company whilst avoiding the legal constraints and obstacles usually faced when having to comply with the different national legal systems. This framework also provides for the involvement of employees.
The modernisation of company law and corporate governance with the aim of it remaining fit for purpose in the digital age is a key priority for the European Commission. Any amendments by the EU on Company Law for this purpose will be reflected in Annex XXII of the EEA Agreement.