During the Lunar New Year, we have celebrations of meals, entertainment, travel and gifts, so we should take a moment to consider what that means in the context of business relationships. This festive season is a time of generosity and gratitude for ongoing relationships and business support, but companies and their employees do need to also be aware of relevant laws and regulations which may create risks for both the giver and recipient if such exchanges are inappropriate or excessive.
For companies managing businesses across a number of jurisdictions, it can be difficult to navigate, given the patchwork of laws, regulations, rules and internal policies that may apply. However, gifts and entertainment remain a focus for global and local enforcement authorities and failures in this area have led to civil penalties and even criminal liability for bribery and corruption.
This booklet covers the following key points and laws on gifts and entertainment:
- What are the key laws around gifts and entertainment?
- Do the laws cover both public and private sector bribery?
- Do the laws cover bribery of foreign officials?
- What are the key restrictions?
- Can companies commit an offence under these laws?
- Is there a strict liability offence for companies? If so, is there a defence?
- Does the regime have extraterritorial effect?
- What are the types of penalties?
