LUXEMBOURG Law and Practice Contributed by: Frédéric Feyten, Alejandro Dominguez Becerra, Gérard Maîtrejean and Pawel Hermeliński, CMS
With respect to representation, the fiduciaire cannot represent the fiduciant or create obligations on behalf of the latter. If the fiduciaire intends to represent the fiduciant in any other transaction, it is presumed that they will do so based on other contractual provisions, because they cannot confuse the capacities in which they act. Moreover, neither the fiduciant nor third parties, even if they have knowledge of the fiduciary agreement, may rely on it to create a direct relation between them - selves. But the other principles of the mandate agreement remain applicable: the fiducie is free if no specific provision provides for the right to remuneration, the fiduciaire is only liable in the event of simple negli - gence and he/she needs to inform the fiduciant of the performance of their obligations at the end of the agreement at the latest. Although the fiduciant may, in principle, always give instructions to the fiduciaire, he/she may waive this right if the interests of the parties or a third-party ben - eficiary so require. Unless otherwise agreed, neither the fiduciant nor the fiduciaire may unilaterally terminate a fixed-term agreement. Finally, the fiduciant, the fiduciaire or a third-party beneficiary may request in court, for serious reasons (eg, the loss of the assets), the provisional or final replacement of the fiduciaire or the early termination
Norway or Switzerland) do not need a prior residence/ work permit to reside/work in Luxembourg. However, for a stay of more than 90 days, they must declare their arrival and then register with their new commune of the place of residence. A third-country national who is legally resident in the territory of another member state of the European Union or in an assimilated country and who wishes to work in Luxembourg without residing there must, in principle, have a work permit, and this before starting to work in Luxembourg. They must apply in writing for a work permit from the Luxembourg Direction générale de l’immigration du ministère des Affaires intérieures . First, they will be subject to the employment market test (via the Agence pour le développement de l’emploi – ADEM, upon the employer’s declaration of vacant position). The first work permit is valid for a maximum of one year (without exceeding the validity of the residence permit), for a single profession, with one employer and in one sector. From the first renewal, the work permit is renewable for a maximum duration of three years and gives access to any sector and any profession. As regards third-country national (ie, from a country which is neither a member of the European Union nor considered assimilated to the EU member states), an authorisation to stay, followed by a residence permit, is required for any person: • resides abroad and wishes to establish residence in Luxembourg and work there as an employee; • already legally resides in Luxembourg without hav - ing worked there and wishes to work there as an employee; or • already resides and works legally in Luxembourg but wishes to work in a sector or profession for which it is not yet authorised. They will first be subject to the employment market test (via the ADEM, upon the employer’s declaration of vacant position). The first work permit for salaried workers is valid for a maximum of one year, for a single profession, with one
of the fiduciary agreement. 6.4 Fiduciary Investment
As regards fiduciary, there are no specific investment rules or diversification requirements in Luxembourg.
7. Citizenship and Residency 7.1 Requirements for Domicile, Residency and Citizenship Residency Citizens of the European Union or persons coming from an assimilated country (Iceland, Liechtenstein,
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