Corporate Governance
representatives of Palestinian line ministries and government bodies, and law students at Birzeit University.
In his opening remarks, Dr. Mohammed Al Qaysi, Professor of Commercial Law at Birzeit University, welcomed the audience and speaker Dr. Amin Dawwas, Professor of Law at the Arab American University of Jenin. According to Dr. Qaysi, the IoL Legal Encounters Programme “contributes to developing the Palestinian legal system, including all relevant components.” Legal encounters cast light on most recent legal themes and trends on the local and international levels. The IoL and Faculty of Law and Public Administration hold legal encounters on a regular basis.
Dr. Dawwas explained the concept of corporate governance, stressing that it should be built on principles and rules that are consistent with sound management and good governance. As a best practice, corporate governance principles are not binding, but are voluntary and optional rules. Corporate governance is all the more significant when it is consistently applied and complied with to the greatest extent possible. Internationally, the concept of corporate governance emerged after a financial collapse of several mega corporations.
In Palestine, the corporate governance concept officially appeared with establishment of the National Committee for Corporate Governance. This Committee comprises relevant sectors, including the Palestine Capital Market Authority. It has developed a Code of Corporate Governance, providing additional rules to cope with legal loopholes within the Company Law of 1964.
Dr. Dawwas elaborated that the Palestinian Code for Corporate Governance “mainly addresses public shareholding companies. In addition to binding rules derived from the Company Law and Securities Law, the Code provides a set of voluntary rules that consolidate best corporate management.” Divided into several sections, the Code for Corporate Governance also prescribe rules that contradict provisions of the Company Law. These are designed to pave the way to amending some articles of the said Law.
Participants made several interventions in the ensuing discussion. A Company Law should be enacted to provide for international corporate governance standards. The current Company Law is outmoded and inconsistent with current market needs. It should be restructured to cover new domestic and international developments. Discussants also stressed the need for guidance manuals and norms on corporate governance. To consolidate good governance and sound management, these will be made available to shareholders with a view to promote accountability and transparency in corporate operations.
The legal encounter was organised with support from Konrad Adenauer Stiftung, Ramallah Office.
Speakers
1. Dr. Mohammed Al Qaysi, Professor of Commercial Law at Birzeit University
2. Dr. Amin Dawwas, Professor of Law at the Arab American University of Jenin
Venue
Institute of Law, Birzeit Univeristy
Date
2014-05-05
