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Commercial Law in Italy

Commercial Law in Italy

The commercial law in Italy governs business and commercial relations between parties in Italy. It applies to all investors and business owners and deals with issues of private and public law. 

Commercial disputes in Italy are also regulated by this set of laws which derives its sources primarily from the Italian Civil Code. This type of litigation can be solved either through legal action or by using alternative dispute resolution methods.

Our lawyers in Italy can help you with legal representation in case of commercial disputes as well as legal aid and counselling for compliance with the provisions of the commercial law.

Doing business in Italy

Businesses in Italy are regulated through the company law and there are several types of companies that can be incorporated in the country. Italian foreign direct investments target a wide range of business areas and the country has numerous small and medium sized companies operating in a variety of business fields. Some of the most popular choices include agriculture and fishing, manufacturing, imports and exports, banking and insurance, etc. 

Trade in Italy is regulated through the country’s own import and export laws but also through the laws in force throughout the European Union. There are generally no customs duties within the EU for imports and exports for certain products. VAT applies in the destination country and exports outside the EU are not subject to the VAT rate applicable in the European Union.

Commercial relationships between companies and/or individuals are regulated through the civil law and other applicable laws, according to the specific business field. The contract law in Italy will govern agreements for employment in Italy, certain commercial transactions like real estate purchase or rent and the provision of services between two parties.

Before entering into any commercial agreement or contractual relationship with another party in Italy it is advisable to seek the services of a law firm in Italy. An expert will be able to tell you more about the laws in force and the liabilities that arise according to the commercial law.

Investments in Italy

Italy welcomes foreign investments and encourages them. Foreigners have the same investment rights as locals and company ownership is allowed 100%. Restrictions apply on the sale of weapons, the ownership and operation of aeroplanes and ships in Italy and, in some cases, to certain import or export products. 

Italy applies investment laws and measures in alignment with the laws of the European Union. The country is also a member of the Organization for Economic Cooperation and Development (OECD).

Double tax treaties between Italy and numerous other countries in Europe and in other parts of the world regulate the manner in which a country can impose taxes on the income produced by an individual or company. These treaties have important tax advantages for foreign investors from the signatory country who produce income in Italy.

For more information about the laws governing investments and company formation you can contact our law firm in Italy.