Articles and Interviews

Palau | 1 November 2021

Palau has a new Corporations Registry law designed to modernize

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Published in the Marianas Business Journal.

Monday 1 November 2021 | Written by Bernadette H. Carreon

President Surangel S. Whipps Jr. signed on Sept. 29 Palau Public Law 10-11 or the Corporations Registry law, which will regulate corporations in Palau, both domestic and international as well as for-profit and not-for-profit corporations.

In his signing statement, Whipps said the 143-page law upgraded the current corporations’ law and “replaces the law with a modernized version necessary to ensure good governance and lawful business practices.

“It is good to see it finally passed. It has come before us before when we were in the Senate before and we’ve discussed it, but now it has finally become law. We know it is a complex law, it is for an average person to understand. That is why we depend on experts and lawyers to assist to put it together and understanding it. If it has limitations, we can always improve, but the most important is that it’s moving forward, we are making progress,” Whipps said. 

The drafting of the law was made possible through the assistance from the Asian Development Bank, the Financial Investigations Unit, the Attorney General’s Office, and legal counsels of both houses of the Palau Congress.

An Oct. 21 press statement from the ADB said the new law will modernize and simplify business start-up and operation requirements by eliminating unnecessary and outdated formalities, making it faster and cost-effective to register and manage businesses in the future. --->

Read the full article on the Marianas Business Journal website here.