Milewska Legal

Commercial companies

Obligations of cosmetic products distributor

Are you a distributor of cosmetic products? You also bear specific responsibilities regarding product labeling!
It might seem that the manufacturer is fully responsible for a product’s appearance, its name, and the markings displayed on its packaging. In reality, the matter is much more complex. Of course, the manufacturer determines the product’s aesthetic qualities and properties. However, when it comes to the information included on the label, the distributor must exercise heightened diligence.
EU law imposes specific “due diligence” obligations on distributors when placing cosmetic products on the market, and failure to comply may lead to serious consequences.

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Restrictions on the Sale of Shares in a Limited Liability Company (LLC)

Shares in an LLC can generally be traded fairly freely. In the context of transferring such shares, the most common case is their sale. Shares can also, for example, be pledged or gifted. However, before any such transaction, it is necessary to check whether legal regulations or the company’s articles of association impose any restrictions in this regard.

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Anti-Deadlock Clause in a Limited Liability Company Agreement

In some limited liability companies (sp. z o.o.), shareholders decide to divide the shares equally. A classic example is a company with two shareholders, each holding 50% of the shares. In such cases, a so-called deadlock may arise, i.e. a decision-making stalemate within the company. The shareholders are then unable to adopt a resolution, most often due to an equal split of votes (one shareholder votes “in favor” and the other “against,” with each vote carrying the same weight).

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Contribution of a non-cash contribution (in-kind contribution) to a limited liability company (sp. z o.o.)

The share capital of a limited liability company does not have to be covered solely by cash contributions. It sometimes happens that a shareholder, instead of money, wishes to offer the company, for example, real estate, a vehicle, know-how, or the right to a trademark. Such a solution is possible, although not in every case.

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Dissolution of a limited liability company without conducting liquidation

When establishing a limited liability company (sp. z o.o.), few people think about ending its operations. Meanwhile, situations arise where, due to conflicts between shareholders or an unfavorable financial situation, the company effectively ceases to function in practice. At this point, the question usually arises: how can the company’s existence be formally terminated? Is it possible to simply remove it from the National Court Register (KRS)? Or is formal liquidation always required?

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Dismissal of a liquidator in a limited liability company

One might think that a liquidator acts solely for the benefit of the company and all its shareholders, but nothing could be further from the truth. Sometimes, a liquidator is unreliable and acts solely to protect the interests of one of the shareholders. Is there a remedy for this? Fortunately, yes. The shareholders themselves can take action, and if they cannot agree among themselves, the Commercial Companies Code provides for the possibility of dismissing an unreliable liquidator through the courts.

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