|
Company Law
The Company Law is part of the Commerce Act and was enacted in 1991. It generally regulates “merchants,” which are defined as any natural or legal person engaged by occupation in any one of 15 different transactions.
The law is similar to other laws in Eastern Europe in its detail. Types of transactions listed require that the person conducting them be deemed a merchant. However, that 15 specific transactions are mentioned means that many others are not covered. For example, sale of one’s own manufactured goods is a covered transaction; however, no transaction covers a contract manufacturer, i.e., a manufacturer or assembler of goods for another party which owns the goods, unless the word service in transaction 13 is intended as a catch-all. Fortunately, a provision in the law requires that persons not otherwise within the above definitions are nonetheless merchants, i.e., persons who establish a business whose purposes or volume require that the activities be carried out on a commercial basis.
(Note: This information was taken from the Company Law chapter of the 2002 Bulgaria BizCLIR report. For more information, please see the report.)
|
