A Commercial Act should be effective at the same time as the Civil Code and the anticipated date of effectiveness of both bills should be January 1,2005.
The new Commercial Act is being prepared by the team of Dr.Havel from the West Bohemian University in Pilsen. The Commercial Act should mostly regulate company law and co-operatives. As compared to the Commercial Code in force, it should leave out the part dealing with the law of obligations. Thus, the Commercial Act would no more provide for a regulation of some general types of contract, such as contract on sale or contract on work. The Commercial Act should regulate only types of contracts concluded only between entrepreneurs, e.g. contract on sale and lease of an enterprise.
In the part concerning company law and law of co-operatives, certain provisions that protect the members and the shareholders more than they may wish should be omitted. One of these provisions is the requirement to undergo two proceedings with the Commercial Registry in the event of increase of the registered capital when in the first stage the resolution of the General Meeting and subsequently the increase itself must be recorded. It is also expected that members of the bodies of the company would no more be obliged to submit a residency visa for the entry into the Commercial Registry.
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