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SecondCIS Local Counsel Forum
Cultural differences
Western Europe / ex-UdSSR
Dr. Gabriel Lansky Baku, 21.6.2007
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Abstract
• Reasons for intercultural differences
• Examples of intercultural differences
• Impacts of intercultural differences on (legal) advisory services
• Your partner for successful operations in ex-UdSSR as well as Western Europe
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Reasons for intercultural differences
• Different legal, economic and business-ethical conditions due to the– different history of Western Europe (below „WE“)
and ex-UdSSR and especially the– former communist regimes in ex-UdSSR with
• a socialistic state-directed economy (WE: free market economy);
• a clear power structure and strong authorities;• a lack of stability of the law;• sometimes venality and cronyism.
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Reasons for intercultural differences
• After the end of communism:– period of economic „gold rush“;– fast and wide privatizations;– initially a lack of legal order;– in the course of time western legal standards were
implemented, but often not enforceable.
• WE places emphasis on different values (eg partly restriction of competition in order to strengthen environment and employee protection as well als consumer rights).
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Abstract
• Reasons for intercultural differences
• Examples of intercultural differences
• Impacts of intercultural differences on (legal) advisory services
• Your partner for successful operations in ex-UdSSR as well as Western Europe
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• People from ex-UdSSR show their personal and financial power more publicly than people from WE.
• Moreover, people from– ex-UdSSR emphasize personal contact to their
contractual partner and mutual trust;– WE tend to seperate professional and private
contact/spheres and, as to professional contact, bank on the legally binding character of contracts.
Examples of intercultural differences
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• In WE, a sense of honor is less important than in ex-UdSSR; hence people from– WE tend to carry on tough and long negotiations
previous to signing a contract;– ex-UdSSR sometimes close unfavorable contracts
in order to display their courage and power.
• On the contrary, vital importance of autonomous media in WE, which has a big influence on the public opinion making.
Examples of intercultural differences
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• During the performance of contract people from – WE set a high value on the correct abidance by
contract, since it is the outcome of negatiations and should represent the intention of all parties;
– ex-UdSSR antagonize the virtual implementation of unfavorable clauses, since they place less emphasis on the binding character of written contracts, but rather on personal confidence.
Examples of intercultural differences
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Abstract
• Reasons for intercultural differences
• Examples of intercultural differences
• Impacts of intercultural differences on (legal) advisory services
• Your partner for successful operations in ex-UdSSR as well as Western Europe
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• Due to historical legal uncertainty selective propagation of information to consultants in ex-UdSSR in order not to become dependent; even attorneys sometimes get to know only parts of all facts of a case;
• The long history of justice in WE generated a widespread doctrine and judicature, which allows very differentiated argumentation; sometimes these conflictive point of views are difficult to understand for people from ex-UdSSR.
Impacts of intercultural differences on (legal) advisory services
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Abstract
• Reasons for intercultural differences
• Examples of intercultural differences
• Impacts of intercultural differences
• Your partner for successful operations in ex-UdSSR as well as Western Europe
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• Austrian law firm• Headquarter in Vienna
• USP: International structure on the basis of a best-friends-system and mother tongue service in all necessary ex-UdSSR and CIS
countries
• 65 employees in Austria• Fields of law- privatisation- corporate law, M & A- commercial law- law of contract- infrastructure and railroad law- capital market law- real estate- employment law- law of the European Union- environmental law
Cooperation with partners worldwide
• Azerbaijan• Belgium• Bosnia • Bulgaria• Croatia• Czech Republik• France• Germany• Greece• Hungary• Ireland• Israel• Kazhakstan• Lichtenstein • Lithuania• Macedonia • Netherlands• Poland
• Romania• Russia• Sweden• Serbia• Slovakia• Slovenia• South Korea• Turkey• Ukraina • United Kingdom• USA
Lansky, Ganzger + partner
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• Member of Euro-Defi, one of the leading European networks of independent legal and accounting specialists with 300 member offices and 4000 professional staff throughout Europe.
• Modern, interdisciplinary service;
• global, international, multilingual;
• attendance of projects as managerial coordinators;
• network with tax- and business advice;
• lobbying in all ranks.
Lansky, Ganzger + partner
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Lansky, Ganzger + partner
• Sustantial experience with major projects in ex-UdSSR, among others:– Legal consultant of Casinos Austria International
Holding GmbH (activities eg in Croatia, Czech Republik, Serbia, Romania, Hungary);
– Legal implementation of the selling process of subsidiary companies of the Hypo Group Alpe Adria in Croatia and Serbia (March 2007);
– Legal consultant of Vienna International Airport; legal support of VIE, eg. in the implementation of BOT-agreements in ex-UdSSR.
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Thank you for your attention!
Dr. Gabriel LanskyLansky, Ganzger + partner RA GmbH1010 Vienna, Rotenturmstrasse 29/9AustriaT: +43 1 533 33 30-13F: +43 1 532 84 83E: [email protected]: www.lansky.at
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How toInvest in Austria
Guide about various legal and economic aspects of investing in Austria developed by
Lansky, Ganzger + partner Rechtsanwälte GmbH
in cooperation with
Austrian Business Agency.
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How toInvest in Austria