Managing substance in pandemic times

The outbreak of COVID-19 has resulted in an unprecedented crisis that requires the adoption of radical measures by governments to limit the uncontrolled spread of the virus among the population. Many States in Europe and the rest of the world, have announced travel restrictions and the requirement of “social distancing”.

As part of a series of measures to cope with the COVID-19 situation, the Luxembourg government provides flexibility with respect to the holding of shareholder and board of director meetings without the need of physical presence. However, all the measures adopted in Luxembourg and abroad may have a very practical impact on the substance of Luxembourg companies.

It should also be considered that depending on how the current COVID-19 pandemic develops, it cannot be excluded that this situation may last for several months. Given that governments follow different strategies to deal with the containment and management of the disease, it can further not be excluded that some jurisdictions will experience a more severe and lasting situation until this is under control, resulting in extended travel restrictions.