On 4 May, the European Commission hosted a round table in Brussels to discuss the potential of a European Business Code governing B2B transactions, bringing together business representatives, policymakers and academics.

The idea of a European Business Code — a common set of rules creating an additional legal option for businesses wishing to operate across the Single Market — was recently championed by Enrico Letta in his report on the future of the Single Market.

The European Commission's “EU Inc.” proposal follows the same logic.

A study prepared by the Association Henri Capitant (see link below) highlights the potential of the Business Code approach well beyond company law. Its findings are clear: Europe's Single Market still operates without a unified business framework, meaning that companies face different legal regimes when entering into B2B contracts, loans, securities and guarantee arrangements. This fragmentation increases legal costs and restricts access to finance. Introducing optional regimes in these areas could significantly reduce the remaining legal fragmentation of the Single Market.

The round table gave rise to lively and highly engaged discussions.

One Market, One Law extends its warmest thanks to the European Commission, especially Ms Amaryllis Verhoeven, Ms Katrin Saaremäel and Mr Philipp Runge, for organising this event, as well as to Philippe Dupichot, Michèle Grégoire and Matthias Lehmann for their excellent and thought-provoking presentations, which attracted many members of the Commission and other participants.

One Market, One Law hopes that this round table will encourage the European institutions to move swiftly towards the drafting of an optional European Business Code.

Such an additional optional legal framework, as proposed by the Association Henri Capitant, would help remedy the legal fragmentation of the Single Market. It would strengthen European competitiveness, promote legal simplification and provide optional legal tools instrumental to the emergence of a fully integrated European financial market capable of financing and mobilising European savings in support of European companies — particularly innovative companies, start-ups and scale-ups developing breakthrough technologies.

https://op.europa.eu/en/publication-detail/-/publication/8aae86e9-394b-11f1-be39-01aa75ed71a1/language-en