The editor’s instructions to me this week were clear enough: predict the future of Poland’s legal system 50 years into the future… in 700 words or fewer. Yikes!

Just as I am not qualified to predict tomorrow’s weather, I am even less qualified to predict what laws our legislature will adopt 50 years from now. But that won’t stop me from making a few recommendations. Presented below is a brief list of suggestions to make life a bit easier for business in Poland.

Revamp VAT

VAT should only be due and payable to the government after the underlying invoice issued by the entrepreneur has actually been paid by the customer. Not before.

Under the current system an entrepreneur must pay VAT to the Treasury by the 25th of the month following the issuance of an invoice… even if the customer has not paid. Granted, an entrepreneur may claim back the payment of VAT if the customer ultimately does not pay, but only after the fulfillment of what many believe to be a cumbersome and costly procedure.

Adopt the euro

Within the next year or two (not 50), the government should initiate necessary fiscal and macroeconomic reforms necessary to adopt the euro.

Despite repeated promises to adopt the euro the current government has yet to set a target date, even though Poland agreed to do just that at the time of joining the EU. All other new member states have either announced a target date or have in fact already adopted the euro.

Return stolen property

Poland must enact comprehensive legislation to redress the thorny issue of real property restitution in Poland.

Poland is the only EU member state from the former Soviet bloc that has not adopted legislation to compensate the former owners of nationalized or otherwise stolen real property by both the Nazi and Communist regimes. In its place, former owners and their heirs are left to adjudicate their claims individually in court, with no assurance of success.

The lack of resolution creates not only hardship for those involved, but also uncertainty among investors as to whether the title to a given piece of property is in fact good and marketable.

Any law adopted should provide for monetary compensation to those former owners and their heirs if return of the property is no longer possible. In the event property can be returned to the former owner, compensation should be afforded to the current occupants as well, so as not to create an entire new class of victims.

Reform the judiciary

The current system to appoint judges should be scrapped.

Today a person may qualify to serve on the bench in much the same way as a person qualifies to become an attorney – university degree, followed by the completion of a two or three year apprenticeship and passing of an exam, resulting in judges as young as 28. In most Western democracies, a judge is appointed to the bench following a successful career as an attorney, and thus able to call upon years of experience in adjudicating a case.

The current system, however, permits a judge with no “real world” experience to oversee quite often complex legal disputes. To put it quite bluntly, some judges are simply not qualified to serve on the bench.

And, on this final note, I sure hope I don’t have to appear in court anytime soon.

Paul Fogo is a senior attorney with Miller, Canfield, W. Babicki, A. Chelchowski & Partners. fogo@pl.millercanfield.com