Alerts

UK Bribery Act 2010 Update

October 20, 2010

In an August 2010 client memorandum, we assessed the implications of the UK's new Bribery Act 2010 (the "Act") for organisations doing business in or from the UK. We noted that of particular significance to commercial organisations is the creation of a new strict liability criminal offence for failure to prevent bribery by a person associated with the organisation. The only defence is for the organisation to prove that it had in place "adequate procedures" to prevent such payments from occurring. The UK Ministry of Justice has recently published draft guidance (the "Guidance") on the content of these "adequate procedures," and will be soliciting comments and responses to the Guidance until 8 November 2010. The final Guidance is expected early in 2011 and the Act will become effective in April 2011.