No Tax on Sale of Inherited Shares
Ruling by the Federal Fiscal Court on the tax-free sale of real estate in an estate The sale of real estate belonging to an estate can be tax-free. This was decided by the Federal Fiscal Court (BFH) in a ruling dated September 26, 2023, changing its previous legal doctrine (case number IX R 13/22). This […]
Accusation of Undeclared Work
Undeclared work can become costly – get help from an experienced attorney The accusation of undeclared work should not be underestimated and can lead to significant fines or prison sentences. Undeclared work occurs, for example, when services or works are performed, but contributions to social security or taxes are not duly paid. If there is […]
Obligation to Report Suspected Money Laundering
The reporting obligation exists regardless of the size of the transaction. The Money Laundering Act (GwG) serves to combat money laundering, terrorist financing, and tax evasion. Accordingly, the GwG also includes enhanced due diligence and reporting obligations when there is a suspicion of money laundering. If there is a suspicion that money or assets originate […]
Wealth Transfer from Abroad
Observe legal regulations for transfers, cash, and luxury goods The monitoring pressure for asset transactions from abroad to Germany and vice versa has increased enormously in recent years. This is due to various reasons, including the fight against tax evasion and black money, which makes transferring money or assets from abroad more difficult. However, in […]
Withholding and Embezzlement of Wages
Proper Payment of Social Security Contributions With the conclusion of an employment contract, employers and employees enter into rights and obligations. Among the primary obligations of the employer is the payment of wages to its employees. This includes the proper payment of social security contributions for the employee. If the employer does not pay the […]
Suspicion of money laundering
Legal advice on suspicion of money laundering and account freezing The shock is just as great for businesses as it is for private clients: they want to make a transfer, pay a bill, and the bank is not cooperating. It has frozen the account due to suspicion of money laundering. This can have fatal consequences […]
ProReal Europa 9/10 – SC Finance Four insolvent
Insolvency of the pool company affects ProReal investors Once again, there’s bad news for investors of the ProReal Europa 9 and ProReal Europa 10 bonds. This time, it’s due to the insolvency of the pool company SC Finance Four, which filed for insolvency under self-administration at the Offenbach District Court. The Austrian Soravia Group announced […]
Business audit after the death of the business owner
Heirs must tolerate external audit according to the verdict of the Hessian Finance Court Even if the owner of the business has already passed away and the business is not continued by their heirs, the responsible tax office can still order a business audit for past tax assessment periods. This was decided by the Finance […]
Recognition of international judgments domestically
Enforcement of foreign judgments in Germany A court judgment initially has effect within the borders of the state where the judgment was issued. However, in an increasingly international world where cross-border business relationships are more the norm than the exception, the recognition of domestic judgments abroad and vice versa is becoming increasingly important. The recognition […]
Hardship divorce after marital infidelity
Higher Regional Court Zweibrücken: Only the cheated spouse may possibly invoke hardship Before a marriage can be dissolved, the couple must usually complete the separation year. However, there can be exceptions, and in cases of hardship, the separation year may be waived. Infidelity can under certain circumstances be such a hardship case. However, only the […]
Share transfer after final release
Judgment of the OLG Frankfurt from December 15, 2023 – Case No. 17 U 66/22 If a final release decision for the transfer of shares under the Foreign Trade Act exists, the legality and effectiveness of the release are not to be reviewed by a court in civil proceedings. This was decided by the OLG […]
Obligation to delete illegal posts
Platform operators obligated to delete posts following the verdict of the Higher Regional Court (OLG) Frankfurt When illegal content is published via social media, platform operators are responsible. This was decided by the OLG Frankfurt in its judgment on January 25, 2024 (case number: 16 U 65/22). Accordingly, the host providers must delete such posts […]
ProReal Germany 7- Delayed Payment
Investors Must Fear for Their Money For investors of the registered bond ProReal Germany 7, there is bad news: Neither the interest payment due on June 30, 2024, nor the repayment of the bonds by December 31, 2024, is expected to occur on time. This was announced by the company in a mandatory notification on […]
Cloud providers don’t pay a copyright fee
Judgment of the Higher Regional Court of Munich dated February 2, 2024 – Case No.: 38 Sch 60/22 WG e Clouds are not considered remuneration-required storage media or duplication devices. Therefore, providers are not required to pay a copyright royalty. This was decided by the Higher Regional Court of Munich in its judgment dated February […]
German copyright law for cross-border infringements
The Cologne regional court strengthens authors with judgment from Dezember 21, 2023 German copyright law can also be applied when the infringement occurs on a foreign website. This was decided by the Cologne Regional Court in its judgment of December 21, 2023 (Case No.: 14 O 292/22). In Germany, copyright enjoys particularly high esteem. However, […]
Protection against competition in lease agreements
Clause effective only in case of actual impairment In commercial lease agreements, a competition protection clause can be agreed upon. However, a reduction in rent due to a breach of the competition protection clause requires that there has actually been an impairment. This was clarified by the Higher Regional Court of Düsseldorf in its judgment […]
Design protection for the game block remains
The Court of Justice of the European Union (EuG) has rejected a lawsuit with the judgment dated January 24, 2024 – T-537/22. The design of a well-known building block remains legally protected. This was decided by the European Union Court (EuG) with a verdict from January 24, 2024 (Case No.: T-537/22). The design of a […]
Shareholders must bear costs for insolvency
Federal court of justice sees no reason for limitation of liability Shareholders with unlimited personal liability must also bear the costs of the insolvency proceedings in the event of the company’s insolvency. This was decided by the Federal Court of Justice in its judgment of November 21, 2021 (Ref.: II R 69/22). Shareholders with unlimited […]
Corporate insolvencies increased in 2023
Paths to corporate restructuring According to the Federal Statistical Office, the number of corporate insolvencies in Germany between January and September 2023 has risen by 24.7 percent. In absolute numbers, this means that 13,270 companies have filed for insolvency during this period. The increasing number of insolvencies, according to the law firm MTR Legal Attorneys, […]
Raid on DWS due to suspicions of greenwashing
The Frankfurt public prosecutor’s office pursues suspected investment fraud The suspicion of greenwashing at the DWS fund house is not new, and investigations are ongoing. On February 1, 2024, the Frankfurt Public Prosecutor’s Office had the DWS premises in Frankfurt searched for the third time. This was the second raid within two weeks against DWS, […]
