Generally, a company may undertake any activity in the Republic of Lithuania, unless such activity is licenced. However, if certain activity is exercised without incorporating a company or otherwise without registering for taxes or disregarding licencing requirements criminal liability can be triggered.
It is a common place that, for example, lotteries, gambling, health services, alcohol trade a subject to certain licencing requirements. However, there are many grey areas, when it is not so easy to identify what is expressly prohibited and what activity is tolerated. This concerns, for example, intra-company loans that are provided even when the loan amounts are larger that equity of the company. Under certain exceptional circumstances criminal liability can arise for negligent commercial activity when a particular assignment is made improperly, unskilfully, etc., provided that a significant loss was caused. It is therefore, important to be diligent and check whether activity is not subject to certain licencing requirements or the company has implemented necessary corporate structures to perform certain activity (for example, financial services).
Against this background, we advise our clients on the following matters:
Šulija Partners Law Firm Vilnius, registered office Jogailos street 4, 3rd floor, Vilnius, LT-01116, Lithuania, fax +370 52051926, e-mail: info@SulijaPartners.com
© 2008 - 2018, Šulija Partners Law Firm Vilnius. All rights reserved. The contents of this website and all information contained therein is protected under the laws of the Republic of Lithuania and applicable international agreements. The information contained on this website may not be copied, shared or reproduced or published without the written permission of Šulija Partners Law Firm Vilnius.