On 15th September 2020, the Companies Act (Suspension of Filing for Dissolution and Winding Up) Regulations (the ‘Regulations’) were introduced as part of several other measures intended to protect local businesses from the adverse economic impact brought about by the COVID-19 pandemic. They became applicable retrospectively as from 16th March 2020.

IMPACT ON CREDITORS AND SHAREHOLDERS

Apart from being responsible for the proper administration and management of the company, Directors of a Maltese company are, amongst other obligations, generally bound to act honestly and in good faith in the best interests of the Company; to promote its well-being and to exercise the degree of care, diligence and skill that may reasonably be expected of a person in such a position.

These duties, along with the duties of directors in the case of companies experiencing over-indebtedness and/or illiquidity are chiefly regulated by the Companies Act (the Act).

Apart from being responsible for the proper administration and management of the company, Directors of a Maltese company are, amongst other obligations, generally bound to act honestly and in good faith in the best interests of the Company; to promote its well-being and to exercise the degree of care, diligence and skill that may reasonably be expected of a person in such a position.

These duties, along with the duties of directors in the case of companies experiencing over-indebtedness and/or illiquidity are chiefly regulated by the Companies Act (the Act).