The new Companies Act 2006 received Royal Assent yesterday (8 November 2006) and looks set to come into force in the course of 2007. It looks as if it is going to be an ongoing process if Lord Sainsbury's timetable, as set out in Hansard (column 423) is followed.
As it happens, the Act isn't actually available in its final form yet, and according to the DTI it should be available online within the next two weeks.
The first change appears to be the implementation of provisions on company communications to shareholders and others in January 2007, and that will be followed by further consultation in February 2007 before it is due to come into full force by October 2008.
According to the DTI press release the Act will introduce "sweeping changes to simplify and improve company law. Company law has been substantially rewritten to make it easier to understand and more flexible - especially for small businesses."
Once the detail of the Act is available, we, like all the commercial solicitors in England and Wales will be looking at it with a view to producing guidance for our clients, on the extent of the Act's impact of their businesses. Expect a great deal of duplication.
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