CEE Legal Matters

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  • DLA Piper Advises H&M Group on Solar Power Purchase Agreement in Poland

    DLA Piper has advised the H&M Group on a long-term corporate power purchase agreement with R.Power to supply 50 gigawatt-hours of solar-generated electricity annually for H&M’s operations in Poland.

    According to DLA Piper, the clean power will support H&M’s stores, distribution centers, and offices, aligning with the company’s goal to reduce absolute scope 1, 2, and 3 emissions by 56% by 2030 from a 2019 baseline and to source 100% renewable electricity by 2030.

    The DLA Piper team included Warsaw-based Partner Oskar Waluskiewicz and Counsel Monika Leszko as well as further lawyers in London and Leeds.

    DLA Piper did not respond to our inquiry on the matter.

  • Wardynski & Partners and MFW Fialek Advise on Hollywood Group’s Sale of HTS Rental

    Wardynski & Partners has advised Hollywood Group on the sale of all shares in HTS Rental to Lindstrom. MFW Fialek advised the buyers.

    HTS Rental is a Polish textile servicing and rental industry company. Hollywood Group, backed by PE fund 21 Concordia, operates in various segments of the laundry services industry and the rental of workwear and bed linen, as well as other textile assortments.

    The Wardynski & Partners team included Partner Jakub Lerner, Counsel Piotr Zabkiewicz, and Lawyer Waldemar Orynski.

    The MFW Fialek team included Partner Miroslaw Fialek, Senior Associates Mariusz Domagala, Krzysztof Drzymala, Michal Kret, and Pawel Siwiec, Associates Wojciech Lichterowicz and Jakub Wilk, and Junior Associates Franciszek Furmaniak and Maximilian Gnat.

  • Kinstellar and Schoenherr Advise on TSH Investment’s Acquisition of Park Center Mall in Bulgaria from Revetas Capital Advisors

    Kinstellar has advised TSH Investment on the acquisition of the Park Center shopping mall in Sofia from Revetas Capital Advisors. Schoenherr advised Revetas on the deal.

    TSH Investment is a joint venture between real estate investment companies Trinity Capital and HUS Invest.

    Revetas Capital Advisors is a European real estate investment advisor focused on distressed opportunities and value-added investments. 

    The Kinstellar team included Partner Antonia Mavrova, Counsel Atanas Mihaylov, Managing Associate Georgi Kanev, and Senior Associate Nikolay Gergov.

    The Schoenherr team included Partner Ilko Stoyanov and Attorneys at Law Gergana Roussinova-Ivanova and Dimitar Vlaevsky.

  • Clifford Chance and White & Case Advise on Total Specific Solutions’ Investment in Asseco Poland

    Clifford Chance, working with Trigon, has advised Total Specific Solutions on its acquisition of a minority stake of up to 25% in Asseco Poland via subsidiary Yukon Niebieski Kapital. White & Case advised Asseco. Dubinski, Jelenski, Masiarz and Partners reportedly advised the shareholders, Adam Goral Family Foundation.

    According to Clifford Chance, the deal is conditional upon receiving necessary regulatory clearances, and TSS will cooperate with the Adam Goral Family Foundation under a shareholders’ agreement.

    TSS, a subsidiary of Topicus.com, is a European provider of vertical market software and vertical market platforms. 

    The Clifford Chance team included Managing Partner Agnieszka Janicka, Of Counsels Nick Fletcher and Marcin Bartnicki, Counsels Iwona Terlecka, Jaroslaw Lorenc, and Tomasz Szekalski, and Associates Marcin Waszynski and Kamila Hora.

    The White & Case team included Partner Marcin Studniarek, Local Partners Bartosz Smardzewski and Jakub Gubanski, and Associates Damian Lubocki, Dawid Ksiazek, and Iwo Malobecki.

  • Herbst Kinsky and Cerha Hempel Advise on Mavoco’s EUR 11 Million Series A+ Financing Round

    Herbst Kinsky has advised Mavoco on its EUR 11 million series A+ financing round led by 3TS Capital Partners, red-stars.com, and additional investors. Cerha Hempel advised red-stars.com. Dorda reportedly advised 3TS.

    Mavoco is an Austrian IoT connectivity management platform developer.

    According to Herbst Kinsky, Mavoco will use the fresh funding to bolster its global expansion, enhance service delivery, and reinforce its position in IoT connectivity for the global telecom market.

    The Herbst Kinsky team included Partner Philipp Kinsky, Attorney at Law Anna Diensthuber, and Associates Alina Eigner, and Johanna Hoeltl.

    The Cerha Hempel team included Partner Nadine Leitner and Senior Associate Jakob Weber.

  • Eversheds Sutherland and BPV Braun Partners Advise on Orbian’s Acquisition of Platebno Instituce Roger

    Eversheds Sutherland has advised Orbian on its acquisition of Platebni Instituce Roger from KB SmartSolutions and other shareholders. BPV Braun Partners advised one of the selling shareholders, Echilon Capital.

    The transaction remains contingent on regulatory approval. 

    British financial institution Orbian was founded in the late 1990s as a project of SAP and Citibank.

    According to Eversheds Sutherland, Roger is a fintech start-up focused on shortening long invoice maturities and financing the supply chains of large companies. “Since its founding, it has funded over CZK 40 billion worth of invoices, making it one of the largest companies of its kind in Central Europe.” 

    The Eversheds Sutherland team included Counsel Michal Hrabovsky, Principal Associate Lola Florianova, Senior Associates Barbora Waczulik and Barbora Bugova, Associates Lenka Vavrichova and Petr Kucera, and Junior Associate Jakub Bystron.

    The BPV Braun Partners team included Partner Ondrej Ponistiak.

    Editor’s Note: After this article was published, Dentons announced that it advised seller KV SmartSolutions on the deal. The firm’s team included Partner David Simek, Associate Katerina Kucerova, and Junior Associates Krystof Vrtek and Dusan Korbel.

  • 2025 CEE General Counsel Summit Sneak Peak: Interview with Roman Pecenka of PRK Partners

    With preparations for the 2025 CEE General Counsel Summit in full swing, PRK Partners’ Partner Roman Pecenka shares his thoughts about the upcoming event and what he’s looking forward to the most.

    CEELM: Why did PRK Partners decide to participate in this event?

    Pecenka: It’s actually quite simple. We’ve been knowledge partners with CEE Legal Matters for several years now, so we know CEELM very well. All the past events you’ve organized have always been highly professional, ensuring maximum satisfaction for attendees – something that’s very important to us. Plus, the fact that it’s taking place in Prague is a big draw for us. As a firm with a strong focus on international markets and a lot of international clients, it’s a natural fit for us to be part of this regional conference. And, of course, whenever there’s an opportunity to engage with general counsel, it’s always of interest to us. We want to understand their needs, stay on top of current trends, and make sure we’re speaking the same language they expect from us.

    CEELM: Since we’re talking about GCs, what kind of discussions are you most looking forward to?

    Pecenka: I’ve seen part of the agenda, and from what I’ve heard, it’s similar to past events – focused on understanding as much as possible about the trends and current needs of GCs. We’re also interested in how we can align our services to meet their expectations. It’s become a habit for us to propose solutions that are tailored to their needs, and it’s always great to get feedback on whether we’re hitting the mark or if there’s room for improvement. Whether we’re speaking with Czech or international firm counsels, it’s always valuable to gain that deeper understanding.

    CEELM: And what are the main topics you’re looking forward to being discussed?

    Pecenka: I expect the topics will cover different business sectors. They’ll likely be a bit more general, focusing on common challenges faced by international global players – things like sustainability, ESG, migration and HR topics, and so on. These are areas of shared interest, and it’s always useful to hear how others are approaching them.

    CEELM: What aspect of the event are you most looking forward to, and why?

    Pecenka: It’s always great to meet new people and make new connections, as well as reconnect with those we haven’t spoken to in a while. It’s also nice to interact with our clients in a different setting – outside the usual day-to-day. Of course, the program itself is of interest to us, too. We’re always keen to see if our approach and perspective on various topics align with those of other countries and lawyers. It’s reassuring to know we’re on the right track and heading in a good direction.

    CEELM: What would you say is the main unique selling point of this event?

    Pecenka: The opportunity to meet new people, share ideas, discuss challenges, and exchange best practices and experiences is invaluable. Face-to-face meetings are always the most rewarding – they’re not just productive but often a lot of fun too. I’m also looking forward to the CEE Deal of the Year Awards banquet. There’s something special about the atmosphere when everyone’s dressed up, and it’s a great way to wrap up the conference.

  • EU Artificial Intelligence Act and Its Impact on Non-EU Entities

    Last year, a new regulation on artificial intelligence (“AI Act”) was published in the Official Journal of the European Union. This new AI Act lays down legal framework for the development, placing on the market, putting into service and use of artificial intelligence systems (“AI systems”) in the EU, in order to, inter alia, promote the uptake of human centric and trustworthy artificial intelligence, protect against harmful effects of AI systems and to support innovation.

    What is AI?

    AI is a fast-evolving technology that offers numerous benefits across various industries. AI can provide a number of solutions and improvements particularly evident in fields such as healthcare, food safety, education, media, infrastructure management, transportation and logistics. However, the use of AI can also pose risks and potentially cause harm. Having this in mind, it is of paramount importance to support the development and use of AI, on one hand, as well as to meet a high level of protection of public interests, such as health and safety and protection of fundamental rights, on the other hand. This should be achieved by regulating this technology, i.e., regulating placing on the market, putting into service and use of certain AI systems.

    Summary of the AI Act

    In order to ensure effective protection of rights and freedoms of individuals across the European Union, the rules established by the AI Act apply to both public and private entities from the EU or from a third country if the AI system is placed on the EU market, or its use has an impact on individuals located in the EU.

    We are hereby providing a brief overview of some of the key provisions of the AI Act.

    Risk-Based Approach

    The AI Act defines 4 levels of risk for AI systems: (i) Unacceptable risk; (ii) High-risk; (iii) Limited risk; and (iv) Minimal risk.

    Unacceptable risk (Prohibited AI practices)

    Aside from the many beneficial uses of AI, certain AI practices can be particularly harmful and shall therefore be prohibited. In accordance with the AI Act, placing on the market, putting into service or use of an AI systems that exploit vulnerabilities related to age, disability or a specific social or economic situation, AI systems that deploy subliminal, manipulative or deceptive techniques to distort behavior, or AI systems for emotion recognition in the workplace and education institutions (except when used for medical or safety reasons), etc., are considered as AI practices that shall be prohibited.

    High-risk AI systems

    High-risk AI systems include AI used in areas such as critical infrastructure (AI systems intended to be used as safety components in the management and operation of critical digital infrastructure, road traffic, or in the supply of water, gas, heating or electricity), education and vocational training (AI systems intended to be used to evaluate learning outcomes), employment, workers’ management and access to self-employment (AI systems intended to be used for the recruitment or selection, in particular to place targeted job advertisements, to analyze and filter job applications, and to evaluate candidates), education, etc.

    These AI systems shall not be considered to be high-risk in case the specific AI system does not pose a significant risk of harm to health, safety or fundamental rights of natural persons, and if- the AI system is intended to perform a narrow procedural task, improve the result of a previously completed human activity, detect decision-making patterns or deviations from prior decision-making patterns and is not meant to replace or influence the previously completed human assessment, without proper human review, or to perform a preparatory task to an assessment relevant for the purposes of the use cases listed in Annex III of the AI Act.

    However, AI systems shall always be considered to be high-risk when they perform profiling of natural persons (i.e. automated processing of personal data, such as for the purpose of assessing work performance).

    A provider of an AI system referred to in Annex III of the AI Act as a high-risk AI system who considers that the specific AI system is not high-risk shall document its assessment before the system is placed on the market or put into service, as well as register the system in the EU database.

    In accordance with the AI Act, the EU Commission shall, after consulting the European Artificial Intelligence Board, and no later than 2 February 2026, provide guidelines specifying the implementation of the above provisions, together with a comprehensive list of practical examples of use cases of AI systems that are high-risk or not high-risk.

    Requirements and obligations for high-risk AI systems

    High-risk AI systems shall comply with certain requirements prescribed in the AI Act before they can be placed on the market.

    For example, a risk management system shall be established, implemented, documented and maintained. The purpose of this risk management is to identify any possible risks that the high-risk AI system can pose and adopt appropriate measures in order to address these risks. Moreover, the technical documentation of a high-risk AI system shall be drawn up before that system is placed on the market or put into service and shall be kept up-to date, and an appropriate human oversight shall also be provided in order to minimize potential risks.

    In relation to the high-risk AI systems, different roles in the AI value chain have certain obligations.

    The majority of obligations fall on providers (developers) of high-risk AI systems. For example, providers of high-risk AI systems shall ensure that the high-risk AI system is in compliance with all of the requirements prescribed in the AI Act, have a quality management system in place that ensures compliance with the AI Act, keep a set of prescribed documentation at the disposal of the competent authorities, etc.

    It is important to note that the AI Act also applies to providers placing on the market or putting into service AI systems in the EU, even if they are established or located in a third country, as well as to providers and deployers of AI systems that have their place of establishment or are located in a third country, where the output produced by the AI system is used in the EU.

    Providers established or located in a third country shall, prior to making their high-risk AI system available on the EU market appoint a representative, who shall be authorized to cooperate with competent authorities in relation to the high-risk AI system.

    Moreover, importers of a high-risk AI system are obliged to, before placing it on the market, ensure that the system is in compliance with the AI Act, by ensuring that the provider has appointed an authorized representative, among other requirements.

    Deployers (entity using an AI system under its authority except where the AI system is used in the course of a personal non-professional activity) also have some obligations (certainly less than providers), such as obligation to cooperate with the relevant competent authorities in any action those authorities take in relation to the high-risk AI system. It should also be noted that deployers who are employers and intend to use a high-risk AI system at the workplace, shall inform workers’ representatives and the affected workers that they will be subject to the use of a high-risk AI system. This applies to deployers located in the EU, as well as third country deployers where the AI system’s output is used in the EU.

    Limited risk AI systems

    Providers and deployers of limited risk AI systems are subject to lighter transparency obligations. These requirements mostly comprise providing certain information to end-users (such as information that they are interacting with an AI system in cases when the AI system is intended to interact directly with the natural person – e.g. chatbots) or disclosing that the content has been artificially generated, etc.

    Minimal risk AI systems

    Minimal risk AI systems are unregulated. Those are the AI systems that pose very little or no risk to the safety, rights, or well-being of individuals (such as AI systems that recommend movies, music, or books based on user preferences (e.g., Netflix, Spotify), or AI systems in wearable devices (e.g., Apple Watch) that track exercise, heart rate, or steps).

    Application of the AI Act

    The AI Act entered into force on 1 August 2024, and it shall apply from 2 August 2026. However, the provisions regulating prohibited AI systems shall apply from 2 February 2025; some provisions regulating high-risk AI systems shall apply from 2 August 2026, while others shall apply from 2 August 2027.

    Conclusion

    The AI Act marks a pivotal moment in AI regulation. While it sets ambitious goals for the safe, transparent, and ethical deployment of AI, businesses must act now to prepare for its full implementation.  Early action will help businesses avoid penalties and build trust with consumers by demonstrating a commitment to responsible AI use.

    By Katarina Rosic, Senior Associate, and Andjela Sever, Associate, JPM Partners

  • Batteries, Eco-Design, NIZA, Critical Raw Materials and Much More

    Recently, more and more European environmental regulations have been issued, that are directly binding and applicable, with the aim of achieving a circular economy and climate neutrality within a specified period.

    These regulations include, for example, Regulation 2023/1542 on batteries and waste batteries, adopted in summer 2023, which regulates all phases of the life cycle from production, first placing on the European market, obtaining a certificate of conformity, use, extended producer responsibility, labeling including the digital passport, waste treatment of batteries, minimum quantities of materials to be recovered from waste batteries and minimum quantities of recycled material for the production of new batteries. The regulation will be applied step-by-step, but some of the obligations are already applicable since 2024, particularly for manufacturers.

    An important change is also contained in Regulation 2024/1781 on the establishment of ecodesign requirements for sustainable products, which came into force in July 2024. The regulation applies to all material products with the exception of those explicitly mentioned therein (such as food, animal feed, pharmaceuticals). The aim of the regulation is to improve aspects such as the durability of products, their reusability, reparability, energy efficiency, the recycled content of the product, recyclability, expected waste generation, etc.

    Regulation 2024/1735 establishing a framework of measures to strengthen the European ecosystem for the production of emission-neutral technologies, the Net-Zero Industry Act – NIZA, has also been in force since the end of June 2024. Such technologies include various types of renewable energy, batteries, hydrogen, nuclear energy technologies and carbon capture and storage (CCS). Europe has set itself the goal of these technologies reaching production capacities of at least 40% of the EU’s annual technology needs to meet its climate and energy targets by 2030. The administrative procedures for granting permits for these technologies will be simplified and accelerated.

    The above-mentioned regulation complements Regulation 2024/1252, which creates a framework to ensure a secure and sustainable supply of critical raw materials, focusing on raw materials, their extraction, processing and recycling. The regulation covers both strategic and critical raw materials (e.g. copper, cobalt, lithium, nickel, phosphorus, magnesium, manganese, etc.). It requires a significant increase in recycling capacity so that the EU will be able to produce at least 25% of the annual consumption of strategic raw materials in the EU by 2030. Permits for these plants will also be granted more quickly and easily.

    One of the most recent and expected legal acts is the Regulation 2025/40 on packaging and packaging waste which enters into force in the next days and will apply from 12 August 2026. It regulates the obligations of packaging producers, importers, distributors, including final distributors, but also logistics service providers. Packaging placed on the European market will have to comply with new obligations, e.g. all packaging must be recyclable, plastic packaging must contain minimum percentage of recycled content, weight and volume of the packaging must be reduced (no doble walls, false bottom, …). Member states must follow new targets: packaging waste generated per capita must be reduced, as compared to 2018, by 5% by 2030, 10% by 2035 and 15% by 2040; and at least 65% of the weight of all packaging waste must be recycled by the end of 2025 and at least 70% by the end of 2030.

    By Annamaria Tothova, Partner, Eversheds Sutherland

  • Extension of the Applicability of RO E-Invoicing System to B2C Transactions

    1 January 2025 marked the entry into force of the obligation for Romanian established taxpayers that carry out taxable operations in Romania to report in the Romanian invoicing System the invoices issued in B2C transactions.

    As opposed to B2B transactions, for which the obligation is to issue invoices via the RO e-Invoicing system, for B2C transaction the obligation is only to report such invoices in the RO e-Invoicing system within 5 calendar days after the invoice is issued.

    Sanctions for not reporting the B2C invoices in the RO e-Invoicing system will apply starting 1 July 2025. The amount of the fine will vary from RON2,500 (EUR500) to RON10,000, (EUR2,000), by taking into consideration the type of taxpayer (large, middle, small).

    Key takeaway

    Even though no sanctions will apply until mid-year, taxpayers should already start reporting the B2C invoices in the system, in order to minimise any risks for tax authorities to initiate a tax inspection.

    Reference

    GEO 69/2024 and subsequent normative acts

    By Diana Nedelcu, Senior Tax Manager, and Cristina Popescu, Senior Tax Advisor, DLA Piper