Corporate and commercial law in Bangladesh is governed by various laws, with key aspects as follows:
Corporate Law
- Companies Act, 1994: Governs the formation, registration, and management of companies, including public, private, and foreign-owned entities. It outlines corporate governance practices, such as the roles of directors and shareholders and the requirement for annual general meetings (AGMs).
- Foreign Investment: Foreign investors can own 100% of businesses in most sectors, with protections under the Foreign Private Investment Act, 1980.
Commercial Law
- Contract Law: The Contract Act, 1872, covers the formation and enforcement of contracts, including issues like offer, acceptance, and breach.
- Sale of Goods: The Sale of Goods Act, 1930, regulates commercial transactions involving goods, including ownership transfer and remedies for breach.
- Banking and Finance: Governed by the Banking Companies Act, 1991, and Bangladesh Bank regulations, covering licensing, capital requirements, and anti-money laundering measures.
- Intellectual Property: Laws like the Copyright Act, 2000, and the Trademarks Act, 2009, protect IP rights.
- Competition: The Competition Act, 2012, prevents anti-competitive practices and is enforced by the Bangladesh Competition Commission.
- Labor Law: The Bangladesh Labor Act, 2006, regulates employment, wages, and worker rights, including trade unions.
- Arbitration: The Arbitration Act, 2001, provides a framework for resolving commercial disputes through arbitration.
Recent Developments
Recent reforms focus on enhancing the business environment, improving corporate governance, and encouraging digitalization in company registration and compliance reporting.
