Liability and risks associated with shareholder suretyships
Shareholder suretyships can make it easier for companies to take out loans. Because of the risks involved, it is advisable to consult a lawyer who practices banking law before providing a suretyship. When it comes to corporations, the shareholders generally bear no personal liability. This can change, however, if the company requires funds and the […]
Liability of de facto managing directors
A de facto managing director of a GmbH can be held liable on account of their conduct. Any allegations should prompt the accused to seek out a lawyer with expertise in corporate crime. Managing directors of a GmbH must take responsibility for failing to comply with their obligations and be answerable to the company, tax […]
Choosing the best legal form when starting or restructuring a company
A company’s legal structure can be the difference between the success or failure of the business. A lawyer specializing in business law can highlight the pros and cons of different legal forms. It is essential that companies adopt the most suitable legal structure for their business. The significance of this decision when establishing or restructuring […]
Dissolution of Verius real estate fund
The real estate financing fund Verius, valued at 1.2 billion euros, is in the process of being dissolved. Investors should expect to be faced with significant financial losses and are advised to consult an attorney specializing in capital markets law. According to a report by German business newspaper Handelsblatt from October 17, 2023, the real […]
Joint medical practice in antitrust case allowed to refer to itself as a “center”
Frankfurt’s higher regional court – the Oberlandesgericht (OLG) Frankfurt – has ruled that the use of the term “center” in connection with a medical practice staffed by only two doctors is not misleading to consumers and does not infringe competition law. Violations of competition law can potentially give rise to formal warnings and claims for […]
Divorces involving the sale of the matrimonial home
A number of issues need to be clarified when it comes to divorce. A lawyer who specializes in private client work can point out the many pitfalls that might otherwise go unnoticed. One common pitfall is the property (previously) inhabited by the married couple. The prospect of divorce raises the question of how the matrimonial […]
German future financing legislation to make corporate financing easier
One of the purposes of Germany’s Future Financing Act (ZuFinG) is to make it easier for high-growth companies to mobilize private capital for investments, meaning the legislation will have implications for capital markets law. The bill – whose full name in German is the “Gesetzentwurf zur Finanzierung zukunftssichernder Investitionen” – has already been approved by […]
Drafting IT contracts
Modern information technology is part and parcel of everyday business life, a reality that raises a number of legal issues. A lawyer specializing in IT law can guide you through the regulatory framework. Businesses today can no longer afford to neglect modern information technology, even though advances in this area give rise to complex legal […]
Luxury perfume sold at discount store and the choice of selective distribution systems
Brand-name perfumes exude an air of exclusivity, and who better to preserve their luxurious reputation and make sure they do not end up in a bargain bin than an experienced IP lawyer. The protection of intellectual property is of fundamental importance to businesses. A lawyer who is well-versed in IP law can ensure that immaterial […]
Germany’s highest civil court ratchets up real estate sellers’ disclosure obligations
Under German real estate law, the seller is required to disclose a variety of information to the buyer before the sale is concluded. As recently as September 15, 2023, these obligations have become more demanding thanks to Germany’s Federal Supreme Court – the Bundesgerichtshof (BGH) (case ref.: V ZR 77/22). Real estate law recognizes various […]
Challenges facing commercial law from cybercrime
Cybercrime poses a major risk from the perspective of commercial law. Fortunately, this is something that an experienced lawyer can account for when drafting agreements to prevent claims for damages from being filed. With an increasing number of businesses being exposed to attacks by hackers, we at MTR Legal Rechtsanwälte wish to stress the importance […]
Screenwriter awarded additional remuneration by Berlin court
In a judgment from September 27, 2023, Berlin’s regional court – the Landgericht (LG) Berlin – awarded a screenwriter additional remuneration and in doing so strengthened German copyright law (case ref.: 15 O 296/18). One of the traditional subdivisions of intellectual property law, copyright law is concerned with the protection of creative ideas and intellectual […]
Firing and removing managing directors from their post
German company law makes a distinction between a managing director’s position as an executive officer at a company and their employment relationship, and this distinction also needs to be borne in mind when the managing director and the company go their separate ways. Under German company law, managing directors are appointed by the general meeting […]
“Berliner Testament” and estate tax
In Germany, a “Berliner Testament” (literally, “Berlin will”) is a type of joint will that aims to provide security for both partners in a marriage, making it particularly popular among married couples. It can, however, be a suboptimal choice as far as estate tax is concerned. This type of spousal will entails each partner naming […]
Banks cancelling land charges
Banks are only allowed to cancel a land charge if certain conditions are met. With the move potentially dealing a severe blow to borrowers, they should not hesitate to consult a specialist banking lawyer. German banking law recognizes both mortgages and land charges, two types of encumbrances on real property. Despite their similarities, there is […]
Dismissal on suspicion of fraudulently recording working hours
Dismissing an employee on the basis of a strong suspicion may be justified if the individual in question is thought to have been inaccurately logging their working hours. That was the verdict of Mecklenburg–Western Pomerania’s regional labor court – the Landesarbeitsgericht (LAG) Mecklenburg-Vorpommern. Work is becoming increasingly flexible thanks to arrangements such as flextime scheduling […]
German tax investigators take aim at Airbnb – voluntary disclosure a way out
Airbnb hosts are risking trouble with the tax authorities if they fail to properly declare their rental income in their tax returns. They can respond by submitting a voluntary declaration. In the latest chapter in the fight against tax evasion, Hamburg’s tax investigation office has turned its attention towards Airbnb hosts and retrieved the booking […]
Risk analysis and compliance with German Supply Chain Act
Germany’s new Supply Chain Act – the so-called “Lieferkettensorgfaltspflichtengesetz” (LkSG) – was formally adopted on January 1, 2023. One of the key issues addressed by the legislation is the evaluation of risks both within companies and with respect to their direct suppliers. Having come into force at the beginning of the year, the Act initially […]
Unfair use of health claims in advertising
Advertisements that feature health claims can fall foul of competition law if the claims have not been reviewed and cleared by the European Food Safety Authority (EFSA). One of the functions of competition law is to protect consumers from misleading advertising, and this also applies to health-related information on foodstuffs. According to the EU’s Health […]
Post-audit tax estimates
It is a common occurrence following a company audit for the tax office to issue an estimate of additional income. But businesses on the receiving end of one of these estimates do not necessarily have to accept the outcome if it is clearly too high. Accounting records that are found in the course of a […]
