Questions and answers about corona

The statutory meetings of shareholders, members and delegates of corporations can be postponed and held by 30 September 2020. The Act entered into force May 1 2020. Invitations to meetings to be held after the entry into force of the Act, by utilising the methods of participation allowed by the Act, can already be sent.

The possibility of postponement applies not only to ordinary and regular meetings but also to continuation and extraordinary meetings, as well as to meetings approving a merger or a demerger in companies and cooperatives.

The board of directors of a cooperative and the executive committee of an association may require an advance notice of participation in a general meeting of the cooperative, a meeting of the association and a meeting of the delegates to be held by the end of September 2020.  This way, the board of directors or the executive committee will know the number of participants in advance and can arrange a meeting venue that complies with the health requirements and request those participating remotely to provide the necessary contact information. 

The possibility of combining the spring and autumn meetings of an association must be assessed on a case-by-case basis. This overall assessment must take into account at least the rules of the association, the types of matters to be decided, the health protection needs of the members of the association, and an assessment of whether the postponement would cause damage to the association or its members. The executive committee of an association is responsible for such an assessment and for convening a meeting (Statement of Legal Affairs Committee 2/2020 vp).

Published  on 16 April 2020 at 16.30, updated on 4 May 2020

The board of directors of a cooperative or the executive committee of an association can allow its members to participate remotely even in cases where the rules of the corporation explicitly prohibit or do not allow remote participation, if the meeting is held by 30 September 2020.

If some of the members do not have sufficient digital skills or a possibility for remote participation, the management of the cooperative or association must, in accordance with the duty of care, ensure that all members have in practice sufficient opportunities to participate in the decision-making taking place at the meeting of the association or cooperative. In such cases, it may be necessary to allow participation only by using a representative or remotely. If a member of an association does not have the necessary skills to use the selected means of remote participation, there may appear situations where the member has a ‘technical assistant’ present at the meeting, even if this is not expressly permitted under the Associations Act, because compliance with the restriction cannot in practice be monitored (Statement of Legal Affairs Committee 2/2020 vp).

It should be noted in the selection of the methods of participation and in the practical arrangement of meetings that it may not be possible to establish with certainty who actually attends a meeting remotely in addition to the members and possible representatives (Statement of Legal Affairs Committee 2/2020 vp).

The executive committee of an association must provide adequate procedural instructions for remote participation, including voting. For example, voting and election rules can be used as a model. The same applies to remote participation in a meeting of the delegates. The executive committee cannot, however, establish actual voting and election rules referred to in section 30 of the Associations Act (Statement of Legal Affairs Committee 2/2020 vp).

Even if practically all participants would participate in a meeting remotely, the meeting must nevertheless have a physical venue (Statement of Legal Affairs Committee 2/2020 vp).

Published on 16 April 2020 at 17.00, updated 27 April at 10.20

A member of a cooperative has a statutory right to use a representative, even if it is prohibited by the rules, if the meeting is held by 30 September 2020.

The executive committee of an association may allow the use of representatives even if the rules of the association do not allow this, if the meeting is held by 30 September 2020. In practice, the executive committee may also set requirements concerning representatives, provided that they are justified and comply with the principle of equality. For example, the executive committee of a party association may, based on the purpose and activities of the association, require that a representative participating in a party conference be a member of a local organisation of the political party in question (Statement of Legal Affairs Committee 2/2020 vp and Report of Commerce Committee 8/2020 vp).

Published on 16 April 2020 at 17.00, updated 27 April at 10.55

The board of directors of a limited liability company, a limited liability housing company and a cooperative and the executive committee of a registered association must prepare the financial statements by 30 June 2020 for the financial year that ended on 30 November 2019 at the earliest and on 29 February 2020 at the latest.

Published on 16 April 2020 at 16.50, updated 27 April 2020 at 11.00

The board of directors or the executive committee of a corporation is responsible for arranging and convening meetings. Shareholders and members can expect to receive information about meetings from the board of directors or the executive committee.

Published on 16 April 2020 at 16.50, updated 27 April 2020 at 11.00

The board of directors of a listed company may decide to allow remote participation or participation only by using a representative, if the meeting is held by 30 September 2020. The board of directors can decide that representatives will also participate remotely. In such a case, an opportunity for shareholders to request information, for the management to provide information, and for shareholders to propose a matter to be included on the agenda of the general meeting must be provided before the meeting and voting. Voting can be conducted in advance or during the meeting as remote voting. The notice of a general meeting to be submitted by a listed company must contain detailed instructions on the participation in the meeting, the manner and time of presenting questions and counter-proposals, and the publication of questions, proposals and the company's replies.

Published on 16 April 2020 at 17.00, updated 27 April 2020 at 10.55

Further information about the practical arrangements related to the postponement and holding of meetings, use of a representative, remote participation, and preparation of financial statements is provided by organisations for the different types of corporations and sectors, advisory bodies and other organisations, such as

• the Confederation of Finnish Industries (EK)
• the Finnish Chamber of Commerce (KKK)
• the Advisory Board of Finnish Listed Companies (operating in connection with the EK and the KKK)
• the Federation of Finnish Enterprises
• the Finnish Real Estate Federation
• the Finnish Real Estate Management Federation
• the Pellervo Coop Center
• the Finnish Federation for Social Affairs and Health SOSTE
• the Olympic Committee
• the Finnish National Youth Council Allianssi
• the Central Organisation of Finnish Trade Unions SAK
• the Finnish Association of Auditors.

Published on 17 April 2020 klo 15.00, updated 27 April 2020 at 11.05

The coronavirus crisis can affect the financial situation of many people. What should you take into account if your income drops? What should you take into account if you are taking out a loan? You can find answers to these and many other questions on the website of the financial and debt counselling services.

If you need advice concerning your financial situation, you can contact a legal aid office providing financial and debt counselling services or the financial and debt counselling chat. The chat is open from Monday to Friday at 10–12. The chat and the contact details of the legal aid offices are available on the Oikeus.fi website.

Advices also on the website of the Finnish Competition and Consumer Authority

Published 26.3.2020 at 13.45, answer has been updated on 3 April 2020 at 16.05

The ban on direct marketing of consumer credits applies to consumer credits falling within the scope of application of chapter 7 of the Consumer Protection Act, including goods-or-services-related credits. 

The temporary interest rate cap of 10 per cent applies to consumer credits falling within the scope of application of chapter 7 of the Consumer Protection Act. The interest rate cap does not apply to goods-or-services-related credits, such as general credit card credits, car hire purchase and instalment payment options in e-commerce. 

The temporary arrangement remains in force until 31 October 2020. 

Published on 16 April 2020 at 17.10, updated 30 April 2020

Insolvency is a prerequisite for bankruptcy. Insolvency means that a company is, otherwise than temporarily, unable to repay its debts. Under the Bankruptcy Act, a company is assumed to be insolvent if it has not paid its debt within one week of the receipt of a reminder indicating that the creditor may petition for the bankruptcy of the company, unless the debt is repaid. This would temporarily no longer be the case in future.

Insolvency must last for a longer time in order for a company to be declared bankrupt. For most companies, insolvency resulting from the coronavirus epidemic is not permanent.

Published on 16 April 2020 at 17.10, updated 30 April 2020