News / 12.04.2019

British citizens and residents as Directors of Norwegian companies post-Brexit

Author(s) Peter L. Brechan

New transitional rules ensure that more than 600 Norwegian companies currently with British citizens or residents as CEOs or Directors can continue as previously in the event of a hard Brexit.

Pursuant to section 6-11 of the Norwegian Companies Act and the Public Companies Act the CEO and at least 50% of the board members in Norwegian companies must be either (i) resident in Norway, or (ii) EEA citizens resident in an EEA state. In the event of a hard Brexit, UK citizens/residents will formally no longer be EEA citizens or residents.

The Ministry of Trade, Industry and Fisheries announced today that new transitional rules will ensure that British citizens resident in the EEA and EEA nationals resident in Britain are exempt from the residency requirement in the Companies Acts. This only applies to CEOs and directors hold such positions prior to Brexit. The exemptions will be in effect from 10 April 2019 until 1 January 2021.

Any new appointment of CEOs or directors will post a hard Brexit not be subject to the exemption, and must adhere to the general rule.

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  • Peter L. Brechan

    Senior Counsel

    Peter specialises in finance, as well as in corporate and regulatory matters. He has experience from project finance, syndicated loans, leveraged financing, bonds/MTNs/notes, securities, securitisation, leasing, development of financial products, power purchase agreements, derivatives, fund management, agency and regulatory issues for insurance, restructuring of businesses, board work and strategic consulting.