Today most commercial activities, the crafts sector or certain independent professions are subject to receiving a right of establishment before setting up business.
In fact, the principle of free trade is established in article 11 of the Luxembourg constitution which provides that “ the law guarantees freedom of trade and industry, the exercise of professions and of labour except where restrictions may be imposed by the legislature. “
It is presently the law of 28 December 1988, called the law on the right of establishment, which basically governs access to and practice of activities, subject to authorisation by the Minister of the Middle Classes. The law on the right of establishment of 1988 (as amended) and its rules of enforcement thus make up common law in matters of authorisations of establishment.
To this core syllabus are added special laws or laws which include specific provisions governing the right of establishment and the exercise of certain activities which are subject to authorisation by the Minister of the Middle Classes.
As time went by, a rather large Community contribution in the form of directives was added to the legal system applicable to all such activities; it broadened the scope and defined mechanisms of recognition concerning professional qualification, although the actual opinion on such qualifications remains largely in the hands of the national authorities:
Note : article 26 of the law on the right of establishment which organises the information in favour of third parties provides that the mention of the profession and the issue number of the governmental authorisation must be indicated on all letters, estimates, invoices, building site panels and shop windows.