Strategic focus on security
As part of the efforts to safeguard national security, the authorities in Norway introduced a new Norwegian Security Act on January 1, 2019. The Act is aimed at preventing, detecting, and countering security-threatening activities. Today, many businesses are subject to this security law, which not only emphasizes the protection of classified information but also information systems, infrastructure, and objects of critical importance to national security.
The law is dynamic and requires businesses to conduct comprehensive risk assessments and implement security measures to achieve an adequate level of security. Additionally, new regulations pertaining to screening of foreign direct investments (FDI), have been introduced, leading to a significantly higher number of transactions being subject to reporting requirements under the security law.
To avoid violations of the law, it is essential to work strategically on security. In recent times, we have also seen several examples of how the law operates in practice, such as the authorities termination of the planned acquisition by TMH International of Bergen Engines. It is crucial to adopt a risk-based approach when assessing the security law and to have an understanding of when the law applies to a business and when it does not.
Who does the Security Act affect?
Several private companies and sectors, including infrastructure, electronic communication, power supply, water supply, banking, finance, police, defense, and public procurement, are subject to the Security Law. The law makes it even more critical than before for employees, boards, and management to understand, handle, and manage digital risks. It will also have implications for the company's suppliers and subcontractors.
To avoid violations of the law, it is therefore essential to work strategically on security throughout the organization. Adopting a risk-based approach when assessing the Security Law and having an understanding of when the law applies to the business - and when it does not - is crucial.
Ræder Bing's attorneys have substantial expertise in all areas of the consequences of the Security Law and the requirements placed on business actors. We can provide you and your business with valuable strategic advice at the intersection of law, security, and administration.
Investments and national security
Considering the recent geopolitical developments, national security has gained significant importance for investments. Numerous international and national regulations have been adopted to ensure that acquisitions, mergers, or other transactions that could threaten national security are adequately screened by national authorities.
Ræder Bing's team possesses specialized expertise in such regulations at both national and international level. We assist Norwegian and foreign clients in all aspects related to investment planning and execution, ensuring that transactions are in compliance with the regulations.
We may assist you with:
- Defining which parts of the business are subject to the Security Law.
- Establishing necessary and legally mandated security governance within the organization.
- Providing guidance on the Security Law's requirements in private and public procurements.
- Offering strategic advice, training, dispute resolution, and other legal assistance related to the Security Law and its regulations.
- Establishing and participating in Advisory Boards.
- Offering legal advice for investments in Norwegian businesses that may fall under the screening review of the Security Law
Please contact us for assistance regarding the Security Law or any other security consultancy.
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