Understanding the New Privacy Measures for Corporate Directors in Japan
In recent years, there has been a growing concern regarding the privacy and safety of corporate directors in Japan. Due to increasing issues such as stalking and special fraud, measures have been introduced to protect the addresses of corporate directors from public scrutiny. Starting October 1, 2024, a new system will allow for the addresses of directors, representative officers, and liquidators of companies to be partially hidden, presenting a significant shift in corporate governance.
What is the Address Concealment Measure?
Previously, the addresses of directors of corporations were publicly available through official documents such as the registration certificate. However, with the threat of stalking and scam-related crimes escalating, the new law will enable directors to keep their residential addresses hidden up to the level of municipality, omitting more specific details such as house numbers. This reform aims to enhance the safety and privacy of corporate leaders.
Who is Affected by this Change?
This concealment measure applies to the following entities and individuals:
- - Qualified Corporations: Stock companies
- - Qualified Individuals: Representative directors, representative executive officers, and representatives in charge of liquidation
- - Affected Registration Information: It applies to the registration certificate, summary of registered matters, and the registration information service.
Example:
- - In the past: Chiyoda-ku, Nagata-cho 1-11-28, Tokyo
- - After implementing the new system: Chiyoda-ku, Tokyo (without detailed house number)
Application Process and Required Documentation
To apply for this address concealment, certain registration procedures must be completed simultaneously. Here are the scenarios when you can apply:
- - When registering a new company
- - When appointing or reappointing a representative director
- - When changing an address of the representative director
- - In case of relocating to a new headquarters outside the jurisdiction
- - When appointing a liquidator
Required Documents (for Non-Public Companies):
- - Proof of the existence of the company's principal office (delivery certificate, documents confirmed by a judicial scrivener, etc.)
- - Proof of the address of the representative director (residential certificate, personal seal certificate, driver’s license, etc.)
- - Documents verifying the identity of the substantial controlling person (records under the Act on Prevention of Transfer of Criminal Proceeds, notarized affidavits, etc.)
It is important to note that previously registered address information will not be concealed automatically, so if there are changes, it is recommended to apply simultaneously when changing the address or reappointing a director.
Advantages and Disadvantages of the Concealment Measure
The concealment measure provides both benefits and drawbacks:
Advantages:
- - Privacy Protection: The addresses of directors will no longer be accessible to the public, mitigating risks of stalking or harassment.
- - Crime Prevention: This privacy act is expected to contribute to deterring crimes such as special fraud and robbery.
Disadvantages (Considerations):
- - Credibility Concerns: Lenders may require additional documentation since the address of the representative will not be verifiable through public records.
- - Increased Complexity: Reapplication will be necessary if there are future address changes.
Tips for Smooth Implementation of the New System
For companies with a single representative director (one-person company), it is advisable to shorten their term or conduct a prompt reappointment to quickly adopt the concealment measure. If an address change is anticipated, applying for concealment simultaneously can ensure that past address information is hidden.
Further Information on the Address Concealment Measure
To learn more about the address concealment measures for corporate directors in Japan, including application processes and critical points, please refer to the detailed article. This article provides valuable insights for companies looking to protect their privacy and ensure safety.
About the Firm
Nagata-cho Judicial Scrivener Corporation
Location: 1-11-28 Nagata-cho, Chiyoda-ku, Tokyo, 5th Floor, Gojinsha Tokyo Nagata-cho Building
Representative: Marino Kayo
Business Area: Corporate and real estate registration, corporate legal affairs, foreign registrations, etc.
Website:
https://asanagi.co.jp/
Contact Information
For inquiries regarding this matter, please reach out to:
Nagata-cho Judicial Scrivener Corporation
Contact Person: Marino Kayo
Phone: 03-6659-2314
Email:
[email protected]
Contact Form:
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