International Development Law Organization

Commercial Law

Commercial law is one of the main deficit areas in transition economies and in countries seeking to move up the economic value chain. Globalization has vastly expanded the need for competence in this field. A sound knowledge and practice of commercial law facilitates economic integration. It enables poorer nations to secure better terms in international or bilateral trade agreements, and empowers resource-rich ones to handle large foreign investment flows. Where investment is scarce, commercial law capacity encourages it by improving the overall business climate.

Investment and Negotiation Support to the Republic of The Gambia

The Gambia’s transition to democracy has led to an increase in foreign investors wishing to undertake commercial and infrastructure projects in the country. While an opportunity to strengthen the country’s markets, The Gambia recognizes that foreign investment may easily turn into a potential liability if not properly managed and regulated. To address this concern, IDLO has been requested to provide State Counsels and relevant government actors with specialized knowledge in commercial and investment law to be able to provide effective legal advice on transactional matters.

Pages

Key Initiatives

  • The private sector is of central importance for The Gambia, a Least Developed Country where the availability of private capital from foreign and domestic investors is critical to promote sustainable economic growth, increase employment and ensure better living conditions.
  • The Gambia’s transition to democracy has led to an increase in foreign investors wishing to undertake commercial and infrastructure projects in the country. While an opportunity to strengthen the country’s markets, The Gambia recognizes that foreign investment may easily turn into a potential liability if not properly managed and regulated. To address this concern, IDLO has been requested to provide State Counsels and relevant government actors with specialized knowledge in commercial and investment law to be able to provide effective legal advice on transactional matters.
  • Tunisia has achieved considerable economic progress in recent years despite regional challenges affecting foreign direct investment (FDI) inflows. Because FDI is so critical to the economic growth necessary to underpin economic growth and stability, Tunisia recognizes the need to attract and retain more FDI, building on the investments already made in the country. With the guidance and support of the Ministry of Development, Investment and International Cooperation (MDICI), Tunisia has engaged with IDLO to strengthen Tunisia's institutional capacity in relation to intern
  • Alternative dispute resolution, and in particular mediation, is finally gaining momentum in Tajikistan. Previous attempt to introduce law on mediation in Tajikistan have not been successful and consequently there is currently no formal legal framework for mediation. In the first phase of the project, the International Development Law Organization worked to promote commercial mediation and build momentum for its expansion. However, there is still the need to provide assistance to the Chamber of Commerce and Industry Mediation Center and improve its effectiveness.
  • Serbia has recently implemented several judicial reforms to modernize and improve the regulatory framework for mediation, such as the new Law on Mediation in 2014. By implementing the new legal framework on mediation, the number of registered mediators and of mediation cases in Serbia have both increased. However, the Supreme Court of Cassation still registers an excessive amount of backlogged cases.
  • In April 2018, the Republic of Armenia adopted a new version of the Civil Procedure Code with the aim to expedite cases and increase the efficiency of civil courts. As in most transition countries, implementation of the law by courts and officials is weak and uneven. The judiciary needs to become familiarized with the new Civil Procedure Code and its application within a limited timeframe. Hence, it is critical that judges have a firm grasp of the newly adopted rules, especially related to commercial disputes.
  • Even the best functioning courts, without effective mechanisms for ensuring compliance with their   decisions, are in effect perceived as weak institutions, leading to an erosion of public confidence in the rule of law as a whole.
  • Justice within the context of commercial law is premised on the fact that an effective commercial justice system meets and facilitates the specialized needs of the business community and the private sector at large. However, there are persistent challenges related to the dispensation of commercial justice in Kenya.
  • In recent years Jordan has taken significant steps toward promoting economic development, including through strengthening rule of law. Judicial specialization in relevant areas, while promoting an enabling environment for capacity development within the relevant judicial institutions is crucial to maximize the impact of those efforts and ensure sustainability. At the same time, attention has been given to encouraging entrepreneurship, in particular women entrepreneurs, as a means to achieve economic growth.
  • Legal reform and institutional capacity building have been priorities for the Government of Mongolia since 2005, when a specific Government Agency for Fair Competition and Consumer Protection was established. However, the Government Agency for Fair Competition and Consumer Protection still has institutional weaknesses and has not always been able to effectively implement changes of the legal framework. ​
  • After Bulgaria’s accession to the European Union the national tax system underwent significant transformations. Wide-reaching reforms to Bulgarian legal codes - civil, criminal and commercial - were implemented, previously existing legislation was overhauled, and many new areas of legislation were introduced, requiring extensive re-training of the judiciary. To deal effectively with cases relating to tax, judges require a sound understanding of tax matters through ongoing and specialized training.
  • After Romania joined the European Union in 2007, wide-reaching reforms were implemented to the country’s civil, criminal and commercial legal codes. While acknowledging positive development in the judicial sector, concerns remain over the lack of predictability of judicial decisions, including contradictory judgements and inconsistency in the administration of justice.
  • Alternative dispute resolution (ADR), and in particular mediation, is well established in developed economies and becoming increasingly popular in transition countries. For any court system, mediation can substantially reduce caseload burdens, improve clearance rates, and raise efficiency in the administration of justice.
  • The economy and banking sectors of Tajikistan face a number of factors affecting the country’s business environment, including high interest rates and weak enforcement. At the core of the banking crisis is the fact that banks do not use the judiciary to support the enforcement of contracts. This in turn affects the construction sector, which, despite the challenging banking environment, is experiencing considerable growth. The justice system in its current condition is not able to address the construction sector disputes that inevitably surface as the sector expands.
Subscribe to RSS - Commercial Law