ACT No. XI of 2011 AN ACT to enhance the operational environment for medium and small enterprises in order to facilitate their setting up and growth. It seeks to identify those areas where the existing regulatory environment can be improved in order to provide solutions that will

I assent.

G EORGE A BELA

(L.S.)

President

28th June, 2011

ACT No. XI of 2011

AN ACT to enhance the operational environment for medium

and small enterprises in order to facilitate their setting up and

growth. It seeks to identify those areas where the existing regulatory

environment can be improved in order to provide solutions that will

benefit enterprises and make it easier for them to operate. It further

sets up the Enterprise Consultative Council and the College of

Regulators, two advisory bodies, which aim to provide a forum for

consultation and social dialogue, advise Government on challenges

faced by the business enterprise, address grievances which emanate

from the business enterprise and come up with remedial action.

BE IT ENACTED by the President, by and with the advice and

consent of the House of Representatives, in this present Parliament

assembled, and by the authority of the same, as follows:-

PART I

Definitions and Declaration of Principles

(1)

The short title of this Act is the Small Business Act, Short title and

commencement.

2011. (2) This Act shall come into force on such a date as the

Minister of Finance, the Economy and Investment may by notice in

the Gazette establish, and different dates may be so established for

different provisions or different purposes of this Act.

(1)

In this Act, unless the context otherwise requires

"business support measures" means any initiatives such as

grants, rebates, exemptions and other forms of facilitation meant to

make it easier for businesses to start up and operate;

"central entity" means an entity identified by article 5;

"College" means the College of Regulators established by

article 13;

"consultation" means the seeking and giving of advice,

information or opinion;

"Council" means the

Enterprise

Consultative

Council

established by article 10(1);

"customer satisfaction survey" is an exercise meant to analyse

customer satisfaction and establish customer needs and expectations

in order to identify any shortcomings or possible improvements in the

service delivery;

"explanatory notes" means a document prepared by the

department or other entity submitting an instrument to Parliament or

the House of Representatives that explains in plain terms what the

instrument seeks to achieve and is meant to address, it is published

and attached with the Act or Legal Notice but does not have legal

standing;

"government agency" means a body listed in the Fourth

Schedule to the Public Administration Act;

"government department" means any entity in the public sector

that is listed in the Second Schedule to the Public Administration Act;

"government entity" means an organization, not being a

government department, a government agency or a commercial

partnership, in which government has a controlling interest, whether

or not such an organization is established by law;

"instrument" means both primary and subsidiary legislation,

including a bill which has not yet become law, and the transposition

of a European Union Directive into Maltese law;

"the Malta Enterprise" means the entity set up in terms of the

Malta Enterprise Act;

"the Minister" means the Minister responsible for the economy;

"the National Statistics Office" means the Office set up under

the Malta Statistics Authority Act;

"public sector entities offering services to business" means the

Malta Environment and Planning Authority, the Employment and

Training Corporation, the Inland Revenue Department, the Value

Added Tax Department, the Commerce Department, the Malta

Enterprise, the Malta Resources Authority, the Medicines Authority,

the Malta Competition and Consumer Affairs Authority, the Malta

Communications Authority, the Customs Department, the Malta

Financial Services Authority, the Lotteries and Gaming Authority,

and any other entity as may be identified by the Minster from time to

time;

"the Small Business Advisory Committee" means the body

established by article 10(6);

"SME" means small and medium enterprises as defined in

Commission Recommendation 2003/361/EC of 6 May 2003

concerning the definition of micro, small and medium-sized

enterprises;

"SME Test" means the impact assessment as set out in Schedule

II;

"user guidelines" means a document prepared by the department

or other entity that intends to enforce a new instrument in order to

explain to the public in plain terms what will be required to abide by

the provisions of the law, and what will be expected of it to ensure

compliance.

(2) In the interpretation and application of this Act, the

Minister shall, in such manner as he deems appropriate, give due

consideration to the provisions of the European Charter for Small

Enterprises.

PART II

Functions of government departments and entities

which relate to business

(1) Further to the fulfilment of the powers, functions General

and responsibilities attributed to a government department, functions

attributed to a

government entity or government agency under the Public government

department,

Administration Act, and under any other legislation concerning their government

area of competence, a government department, government entity or entity

government

government agency shall endeavor to facilitate the carrying out of agency.

business activities.

(2) In fulfilment of its function under sub-article (1), a

government department, government entity or government agency

shall

(a) prior to submitting to Parliament or laying before

the House of Representatives an instrument, assess the effect

which the proposed instrument might have on SMEs’ operating

environment;

(b) within two months from the date of its publication in

the Gazette communicate the instrument, which has passed

through Parliament or been laid before the House of

Representatives, to all sectors affected by its introduction, and

shall inform the affected business sectors of the date of the

coming into force of the instrument

Provided that no instrument, to which this sub-article

applies, may come into force before the lapse of the two months

referred to in this paragraph;

(c) draw up explanatory notes in terms of Schedule III

and ensure that they are published concurrently with, and

attached to, the instrument;

(d) compile and publish User’s Guidelines to explain

the requirements being imposed in any new instrument in

accordance with paragraph (b), in sufficient time before the

coming into force of such instrument to facilitate compliance;

and

(e)

compile basic information on all pertinent rules and

regulations within its remit as well as of business facilitation

measures relevant to the setting up and running of an enterprise,

and make this information easily available.

(1) In its function of carrying out an impact assessment

in terms of article 3(2)(a) -

(a)

a government department, government entity or

government agency shall apply a check list as set out in

Schedule I, or as may be further established under any other

legislation;

(b) any instrument which is determined to have an effect

on SMEs, shall be accompanied by a report on the outcome of a

SME Test which is to be carried out by the government

department, government entity or government agency

concerned following the procedure set out under Schedule II;

(2) The application of the SME Test under sub-article (1)(b)

shall be carried out in coordination with the central entity identified

under article 5.

(1) There shall be identified by Government a central Central entity.

entity which will have the necessary expertise in terms of human

resource, knowledge or qualification in the application of the SME

Test.

(2) It shall be the function of the central entity to

(a)

assist a government department, government entity

or government agency in the application, analysis and

interpretation of the SME Test;

(b) facilitate consultation by the government

department, government entity or government agency with the

relative SME bodies and representatives, including the Council

and sub-committees nominated by the Council in terms of

articles 10(6) and 11(3), on the proposed instrument in order to

determine the effect which the said instrument might have on

SMEs;

(c)

help identify alternative measures aimed at

mitigating the negative effect on SMEs identified in the SME

Test without derogating from the aims which the instrument is

meant to achieve.

(3) In the carrying out of its functions, the central entity shall

(a)

act objectively, transparently and efficiently;

(b) ensure that a uniform approach is applied by all

government departments, government entities or government

agencies in fulfilling the obligation under article 4(1); and

(c)

act impartially from the government department,

government entity or government agency proposing the

instrument.

In its function to provide information in terms of article Function related

3(2)(e), a government department, government entity or government to

of information.

agency shall

(a)

organise all information within its remit related to

the services provided by Government and information required

by Government, which is necessary for the set up of an

enterprise in Malta or for an enterprise to operate and maintain

an existing business in Malta;

(b) provide the information collated under paragraph

(a), to the Malta Enterprise or to such other entity in terms of

article 8, in both official languages, and in a form to facilitate its

communication by electronic means;

(c) keep the information updated at all times and

communicate such updates to the Malta Enterprise at once.

(1) Further to the fulfilment of the powers, functions

and responsibilities attributed to a public sector entity offering

services to business under any legislation concerning their area of

competence, a public sector entity offering services to business shall

carry out a customer satisfaction survey every two years, with the aim

to establish the impact which its service is having on the enterprise

sector.

(2) The survey identified under sub-article (1) shall be

conducted by the National Statistics Office, and shall include the

collection, compilation, analysis, and publication of the data.

(3) All relative costs incurred by the National Statistics Office

in the fulfilment of its function under sub-article (2) shall be shared

amongst the public sector entities offering services to business.

(4) In the exercise of its function under sub-article (1), the

public sector entity concerned shall collaborate with the National

Statistics Office and shall make arrangements for the exchange of

information and other forms of assistance as may be necessary.

(5) The results of the survey conducted under sub-article (2)

shall be communicated to the College by the public sector entity

concerned, which shall also make public actions that will be taken to

rectify identified deficiencies. Any remedial actions shall take place

within one year of the result of the survey conducted under sub-article

(2).

Further to the fulfilment of the powers, functions and

responsibilities attributed to Malta Enterprise under its legislation and

any legislation concerning its area of competence, the Malta

Enterprise, or such other entity so appointed by the Minister for such

purpose, shall make available to the public all the information which

it collects from the government department, government entity or

government agency in terms of article 6(b), ensuring that this

represents a complete reference of all Government imposed

obligations and support measures applicable to businesses. Moreover

it shall make this information available through a web-site which it

shall create for such a purpose, and shall keep the information on the

website updated at all times. This information will not replace the

actual legislation or regulation.

(1) It shall be the duty of any organization representing Promotion of

businesses to promote the drawing up, and where this is already code of ethics.

existing, the wider and better use, of a business code of ethics

amongst its members.

(2) In the exercise of its function under sub-article (1), the

organization concerned shall strive to enhance the relationship

between clients and providers in the sector, by promoting the

adoption of the principles which emanate from the code of ethics.

(3) A guide to the drawing up of a code of ethics is provided

under Schedule IV.

PART III

Establishment of bodies

(1) There shall be a Council, to be called the Enterprise Establishment

and composition

Consultative Council.

of the Enterprise

Consultative

Council.

(2) The Council shall be a consultative and advisory body to

the Government through the Minister, having a distinct legal

personality, and shall consist of the following

(a)

a Chairperson, who shall be the Minister;

(b) fourteen other members representing the entities or

Ministries responsible for enterprise or whose remit is relevant

to the sector, namely the Commerce Department, the Malta

Enterprise, the Malta Competition and Consumer Affairs

Authority, the Enterprise Policy Directorate within the Ministry

of Finance, the Economy and Investment, the Economic Policy

Division within the Ministry of Finance, the Economy and

Investment, the Malta Financial Services Authority, the Local

Government Department, the Ministry for Gozo, the Malta

Tourism Authority, the Malta Environment and Planning

Authority, the Ministry for Resources and Rural Affairs, the

National Statistics Office, the Inland Revenue Department, the

Value Added Tax Department and the Ministry of Education, the

Employment and the Family;

(c)

nine members nominated by representatives from

constituted bodies, namely the Malta Chamber of Commerce,

Enterprise and Industry, the General Retailers and Traders

Union, the Malta Hotels and Restaurants Association, the Gozo

Business Chamber, the Gozo Tourism Association, the Malta

Employers’ Association, the National Council of Women, the

Maltese Association of Women in Business, and the Foundation

for Women Entrepreneurs; and

(d)

the Governor of the Central Bank of Malta, ex

officio.

(3) For each of the members nominated in accordance with

sub-article (2)(b), (c), and (d), there shall be an equal number of

substitute members representing those same sectors or organizations

and who shall have the right to attend meetings in the absence of the

nominated members.

(4) The term of office of the members shall be of one year.

(5) The Council may act notwithstanding any vacancy

amongst its members provided that there is a quorum present at the

meeting.

(6) Subject to the provisions of this Act, and of any

regulations made thereunder, the Council shall appoint a sub-

committee to be known as the Small Business Advisory Committee,

which shall be made up of persons selected from the business

community with experience of running different types of micro

enterprises or having worked with small businesses.

(7) The Minister may, after consultation with the Council,

make regulations regarding the procedures to be adopted by the

Council, including the quorum for meetings, the filing of casual

vacancies, loss of mandate and substitution of members. For the

purpose of this article, a quorum shall be made up of an equal

proportion of representatives from both sectors, with a minimum of

ten representatives.

(1)

It shall be the function of the Council to -

(a) make recommendations to Government on issues

relating to the enterprise sector;

(b) make recommendations to Government on the

formulation of policies in the field of small and medium

enterprises;

(c)

work towards improvements in the operating

environment for small enterprises;

(d) review, discuss and provide advice on legislative

proposals that have a significant impact on the enterprise sector;

(e)

monitor the proper implementation of government

policy;

(f)

instigate research, monitor, evaluate and advocate

measures for an environment conducive to a high level of

service provision; and

(g) perform such other functions as may be assigned to

it under this Act or any other law.

(2) In the discharge of its functions, the Council shall

(a) work on identifying issues which hinder enterprise

growth, development and competitiveness;

(b) follow such policy guidelines as may be set out by

Government;

(c)

promote cost-conscious and effective regulation;

(d) promote synergies in the application of government

policy within the Administration; and

(e)

undertake research work in-house, or through

outsourcing, on relevant issues.

(3) The Council shall have the power to appoint sub-

committees, whose members shall be nominated from constituted

bodies, to address specific issues, and review proposals affecting

SMEs.

(1) The administrative affairs of the Council shall be Establishment

managed by the Council Secretariat, and shall fall within the of

Secretariat.

competence of the Enterprise Policy Directorate within the Ministry

of Finance, the Economy and Investment, and the Council, with the

approval of the Minister, may appoint such officers as may be

necessary for the due and efficient discharge of the functions to the

Council.

(2) The Council Secretariat shall be responsible for the

Council’s technical and secretarial services, and shall, inter alia, be

responsible for

(a)

the provision of administrative and secretarial

services required by the Council, the Committee or the sub-

committee nominated in terms of article 10(6);

(b) ensuring that all information that may be required

for the Council members to effectively carry out their functions

is made available;

(c)

ensuring that all follow up action is taken in order to

implement directions or decisions taken by the Council or the

sub-committee;

(d) providing information and carrying out preparatory

work for the purpose of the Council’s activity reports, and

overseeing and assessing execution of these tasks;

(e)

ensuring that office services are provided for the

running of the Council and the sub-committee;

(f)

exercising any other responsibility as may be

delegated by the Chairperson on behalf of the Council; and

(g) ensuring that the Council and the Committee operate

in strict adherence with Government financial regulations which

shall apply to the Council and to the Committee.

(1)

There shall be a College, to be called the College of

Regulators.

(2) The College shall be a consultative and advisory body to

the Government through the Minister, having a distinct legal

personality, and shall consist of the following

(a)

a Chairperson, to be appointed by the Minister; and

(b) fifteen members nominated by Government,

representing the government representatives on the constituted

bodies, namely the Malta Financial Services Authority, the

Malta Competition and Consumer Affairs Authority, the

Customs Department, the Lotteries and Gaming Authority, the

Malta Resources Authority, the Malta Tourism Authority, the

Malta Communication Authority, the Occupational Health and

Safety Authority, the Malta Environment and Planning

Authority, the Department for Environmental Health, the Plant

Health Directorate, the Veterinary Regulation Directorate, the

Fisheries Control Directorate, the Medicines Authority and the

Department of Commerce.

(3) (a)

For each of the members nominated in accordance

with sub-article (2)(b), there shall be equal number of substitute

members representing those same authorities who shall have the right

to attend meetings in the absence of the nominated members.

(b) The College may act notwithstanding any vacancy

amongst its members, provided that there is a quorum present at the

meeting.

(4) The term of office of the members shall be of one year.

(5) The Minister may, after consultation with the College,

make regulations regarding the procedures to be adopted by the

College, including quorum for meetings, the filling of casual

vacancies, loss of mandate and substitution of members.

(1)

In the discharge of its functions, the College shall

Functions of the

College.

(a) establish and maintain a regulatory co-operation

system among its members;

(b) ensure better use of regulation to promote efficiency,

economy and competition within the enterprise sector;

(c)

establish a work programme as proposed and

submitted by the members and as formally endorsed by the

Minister;

(d) hold regular joint meetings with the Council and

discuss topics of importance for the enterprise sector;

(e)

make recommendations to Government in respect of

topics which have been discussed within the College and

following joint meetings with the Council;

(f)

make recommendations to Government in respect of

reviews of policies;

(g) exchange information among its members on current

regulatory issues and trends within the enterprise sector; and

(h) carry out such other functions as the Government

may assign to the College from time to time.

(2) In the discharge of its functions, the College shall

(a)

develop measures for the promotion of efficiency,

better economy and competition within the enterprise sector;

(b) identify regulatory barriers which hinder the growth

of the enterprise sector and make recommendations to address

such issues;

(c)

aim at reinforcing and maintaining communication

networks between all representatives or members by way of

regular exchange of status of affairs and information; and

(d) undertake research work in-house, or through

outsourcing, on relevant issues.

The College shall

(a)

meet at least once every three months or more

frequently as may be deemed necessary by the College;

(b) report to the Minister every six months on the work

carried out; and

(c)

publish an annual report which shall include a

general report of developments during the period to which it

relates in respect of matters discussed during meetings.

(1) The administrative affairs of the College shall be

managed by the College Secretariat, and shall fall within the

competence of the Ministry of Finance, the Economy and Investment

and the College, with the approval of the Minister, may appoint such

officers as may be necessary for the due and efficient discharge of the

functions of the College.

(2) The College Secretariat shall be responsible for the

College’s technical and secretarial services, and the provisions of

article 12(2) shall mutatis mutandis apply to the College Secretariat.

PART IV

Miscellaneous

The Minister may make regulations generally for giving

effect to the provisions of this Act, and for the better carrying out of

the provisions of this Act.

(1) The Minister may, by order published in the Gazette

and subject to any conditions, restrictions or limitations, exempt

specific instruments from the application of this Act or part thereof or

from any obligation imposed under this Act.

(2) The Minister may revoke any order made under this

article.

The Minister may appoint a person to be designated as the

''SME Envoy'' whose tasks shall be, amongst other things

(a) to defend and promote the interests of SMEs with a

view of ensuring that they are mainstreamed a priori in any

national initiatives, whether regulatory or otherwise;

(b) to promote initiatives to implement the principles

enshrined in this Act; and

(c)

to co-ordinate national action with the Member

States of the European Union and the European Union,

particularly with the Commission SME Envoy.

Schedule I

(Article 4)

Impact Assessment Checklist

1. General

a. Proposed instrument

b. Objectives

c. Scope

d. Compelling reason for publication

2. Drafting exercise

Yes

No

If yes,

a. Were stakeholders consulted?

list main

stakeholders

and

their

feedback

b. Was a regulatory impact assessment

list the main findings

carried out?

3. Impact

Yes

No

If yes, proceed to SME Test and report

accordingly

3.1. Impact on Business or the business

environment

3.2. Impact on Government

Yes

No

If yes, what impact and on whom?

a. Do the proposed provisions have a

bearing

on

other

Ministries,

Departments, Authorities, etc.?

b. Do proposals impact Government

Economy / employment

priorities

and

main-streaming

policies?

Education

Environment

Gender equality

4. Outcomes

a. List expected positive outcomes

b. List expected negative outcomes

c. In case of negative impact, list

planned mitigation measures

5. Deadline for publication

6. Notes

____ / ____ / ________

Schedule II

(Article 4)

SME Test guidelines

(1) Consultation with SMEs representatives

New proposed legislation having a direct impact on the business environment

has to be discussed at the Enterprise Consultative Council (ECC) or a specifically

set up sub-committee of the Council. In this discussion the entity responsible for

preparing the legislation has to outline the main objective of the proposal and

identify specific aspects of the proposed legislation, particularly whether proposed

legislation includes

-

a new compliance cost

-

requirement for new equipment

-

impact on staff time

-

indication as to whether a one-size fits all approach is being

applied and if yes, why?

-

indication as to whether proposed measures outweigh costs of

implementation (e.g. environmental concerns).

(2) Preliminary assessment of businesses likely to be affected

During this stage, it should be established whether SMEs are among the

affected population, in particular the sector(s) more likely to be affected.

Relevant sources of information should be explored including SME

representatives. A non-exhaustive list of elements to consider includes, when

applicable, items such as

the number of businesses to be affected

the proportion of the employment concerned in the different

categories of enterprises affected

the weight on the different kind of SMEs in the sector(s) (micro,

small and medium ones)

if the preliminary assessment leads to the conclusion that SMEs

are amongst the affected parties, further analysis should be

carried out and - where appropriate - taken into account when

defining the objectives and developing the policy options in the

impact assessment.

(3) Measurement of the impact on SMEs

The distribution of the potential costs and of the benefits of the proposals

with respect to the business size, differentiating between micro, small, medium and

large enterprises should be analysed qualitatively and, if possible quantitatively. It

is important to establish to which extent the proposal affects SMEs’

competitiveness or the business environment in which it will affect their operations

by establishing the

Financial costs - created by the obligation to pay fees or duties;

Substantive costs - created by the obligation to adapt the nature of

the product/service and/or production/service delivery process to

meet economic, social or environmental standards (e.g. the

purchase of new equipment, training of staff, additional

investments to be made);

Administrative costs - created by the obligation to provide

information on the activities or products of the company

including one-off and recurring administrative costs (e.g.

resources to acquire or provide information);

Cost and impacts identified for small and micro enterprises

should be compared with those for larger enterprises.

Additionally one may also consider other factors such as

possible loss of competitiveness due to external factors such as

the availability of finance,

tax regimes, access to resources or skills, etc.;

possible changes in the behaviour of competitors, suppliers or

customers;

possible impacts on barriers to entry, competition in the market

and market structure;

possible impact on innovation, understood as both technological

and non-technological;

innovation (process, marketing, etc.);

benefits, if applicable, coming from the proposal (burden

reduction, improved productivity and competitiveness, greater

investments or innovation etc.).

(4) Assessment of alternative options and mitigating measures

If the abovementioned cost/benefit analysis indicates that small and micro

are facing a relatively higher burden, one might consider the use of specific

measures in order to ensure a level playing field and the respect of the

proportionality principle. When the analysis made under the previous section

shows that small and micro businesses are disproportionately affected or

disadvantaged compared to larger companies, one should consider (one a case by

case basis) using possible mitigating measures

Complete or partial size-related exemptions for small or micro-

businesses (example: businesses below certain thresholds do not

have to comply with certain specific obligations when this does

not invalidate the original purpose of the legislation)

Temporary reduction or exemptions (example: transition periods

during which small and micro enterprises are exempted or longer

intervals for certain obligations)

Tax reductions or direct financial aid to compensate costs

incurred provided this is compatible with existing legislation (on

competition or international trade)

Reduced fees (example: when these fees are particularly high

and/or represent a fixed cost that would be felt disproportionately

by small and micro enterprises)

Simplified reporting obligations for small and micro enterprises

(example: in the area of statistics, explore possible synergies with

already existing reporting obligations)

Specific information campaigns or user guides, training and

dedicated help-desks/offices (example: specific help-desks

providing tailored information for small businesses)

•

Systematically consider general simplification initiatives which

can particularly benefit small and micro enterprises (example

possibility to use on-line facilities, simplified inspections)

When assessing possible mitigation measures for SMEs, it is important that

the costs this could produce are also fully considered and included in the final

assessment.

Schedule III

(Article 3)

Explanatory Notes

(i) Explanatory Notes must be published alongside every instrument that

has been identified as having an impact on the business sector.

(ii) The government department, government entity or government agency

sponsoring the instrument is responsible for drafting the Explanatory Notes to

accompany it. The draft must be agreed with by the Office of the Attorney

General, which will check that it is consistent with the instrument.

(iii) The Explanatory Notes are not intended to be an exhaustive description

of the instrument or to be a substitute for it. Their purpose is to make the

instrument accessible to readers who are not legally qualified and who have no

specialised knowledge of the subject matter.

(iv) The Notes are not legislation. They do not form part of the instrument

and are not amendable by Parliament or the House of Representatives nor endorsed

by them. They are not designed to resolve ambiguities in the text of the instrument

since if ambiguities are identified as the instrument progresses, they should be

amended accordingly. The Notes should make clear that they do not purport to be

authoritative rulings on the interpretation of the proposed legislation, as only the

courts can give these.

(v) The Notes should usually contain the following items: Introduction,

Summary and background, Overview of the structure of the instrument,

Commentary, and concluding sections.

(vi) If the instrument implements a European Directive, the Explanatory

Notes should include in the form of an annex a set of “Transposition Notes”

illustrating how the Government intends to transpose all the main elements of the

Directive(s) into Maltese law.

Schedule IV

(Article 9)

Ethical Values in SMEs

Drawing up a code of ethics

A code of ethics is the main tool for implementing an ethics policy. It

translates core values into specific commitments and expected behaviour in

relation to the organisation’s key stakeholder groups (i.e. customers, employees,

suppliers and contractors, providers of finance and community). A code will also

be a good place to address environmental responsibilities and to state how the

company seeks to relate to its competitors. It is also helpful to ask employees about

ethical issues that concern them and on which they would like guidance when

drawing up a code.

Typical issues to be addressed in a code of ethics

A code of ethics should pledge to

1. Accurately represent what the enterprise is capable of in all

marketing, advertising and promotional materials.

2. Accurately represent available skills, recognizing limitations and

only offering professional services that it feels competent to provide.

3. Inform prospective clients of any conditions that could limit the

enterprise’s effectiveness.

4. Place each client’s best interest first and foremost, making

reasonably certain that the enterprise has the necessary skills and resources to

provide the support needed before entering into a client relationship.

5. Clearly communicate the terms and conditions of any client

relationship, identifying the responsibilities of all parties, and documenting

these provisions in a signed agreement.

6. Honour all contracts, agreements and commitments.

7. Only make commitments that are within the enterprise’s power

and abilities to deliver.

8. Accept responsibility for all work it does, admit mistakes and do

whatever is possible to rectify any problems that arise.

9. Maintain accurate and sufficient records of all client work.

10. Safeguard and protect all private and confidential information

entrusted to it or obtained in the course of any working relationship.

11. Not release any client information without prior consent or unless

given instruction or permission by client to do so on his behalf.

12. Ensure that electronic and hardcopy record disposal is handled in

a confidential and secure manner.

13. Protect the interest of its clients at all times.

Passed by the House of Representatives at Sitting No. 371 of the 21st June,

2011. M ICHAEL F RENDO

Speaker

P AULINE A BELA

Clerk to the House of Representatives