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No deal brexit on the horizon?

  • United Kingdom
  • Brexit


Following on from the events of the past few weeks, it looks more likely that the UK will leave the EU without any agreement with the EU on any transitional period and with nothing finalised on the shape of the UK’s future trading relationship with the EU. The date for departure is now 31 October 2019 unless the EU is minded to give the UK another extension. Much may depend on the attitude of the next leader of the Conservative party and events in Parliament. And of course we need to factor in the attitude of the new European Parliament and European Commission and Council Presidents.

Contingency planning for Brexit has perhaps been influenced by an assumption that the UK and the EU would manage to find some agreement on withdrawal arrangements. Without this agreement, EU law will not apply to the UK from 11.00pm on the date the UK exits the EU, there will be no clear agreement on any transitional arrangements which would have helped, for example, to clarify the application of EU law to transactions or proceedings that straddle the exit date. An agreed withdrawal agreement would also have given everyone more time to prepare, but if this planned softer landing is no longer on the table, we need to respond immediately to changes involved in the UK no longer being a member state of the EU. It’s clear that business models and trading assumptions that have worked in the past need to be re-assessed as a matter of urgency.

Here at Eversheds Sutherland we have a variety of tools that can help you prepare for a no deal Brexit, from our Brexit preparedness tracker which sets out the actions individual EU member states are taking to our contract analysis products. And of course, bespoke advice from our team of Brexit experts, one of a handful of firms awarded Tier 1 status for our legal advice on Brexit by the Legal 500.

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