Register of Beneficial Owners: EU Court Strengthens Privacy Safeguards

In its judgment recently delivered in cases C-684/24 and C-685/24, the Court of Justice of the European Union addressed a particularly sensitive issue, clarifying the limits within which access to the registers of beneficial owners of trusts (which also extends to Italian-law fiduciary mandates) may be granted. The ruling is expected to have significant implications for national legal systems across EU Member States, requiring a review of domestic legislation, with the exception of Luxembourg, which had already amended its rules following the Court’s 2022 decision.

At the heart of the matter lies the balance between financial transparency requirements and the protection of individuals’ rights. According to the European judges, unrestricted access to data contained in beneficial ownership registers may constitute a disproportionate interference with the privacy of the persons concerned. Consequently, any access to such information must be justified by a legitimate interest and accompanied by appropriate safeguards.

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