You may have already noticed that when talking about business many terms like enterprise, business and company are often been used as synonyms. But are those really all the same terms? What shall you unterstand by each of those individual terms? Which legal differences shall you be informed about? If you are talking about an…
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Doing business in Germany? You should better know what corporate criminal law is all about. Economic or corporate criminal law is the collective term for all criminal provisions that criminalise offences in the area of the economy. It is the state’s response to economic crime and it serves to protect the structure of the economic…
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What should you know about the GTC Regulation in Germany? General terms and conditions (GTC) are all pre-formulated contractual terms for a number of contracts which one contracting party (user) provides to the other contracting party when concluding a contract, according to section 305 (1) sentence 1 of the German Civil Code (BGB). GTCs are…
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Limited commercial authority (German: “Handlungsvollmacht”) authorizes the holder of it to undertake all transactions and legal acts commonly associated with operating a commercial enterprise. The powers of representation pursuant to this authority are limited to the execution of business transactions of the commercial enterprise. The taking out of loans and the conducting of litigation proceedings…
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BGH: Unfair commercial act in the case of unauthorised request for payment in the case of identity theft BGH, Judgement from 20.10.2021 – I ZR 17/21 Facts of the case The plaintiff is a consumer protection association registered in the list of qualified entities within the meaning of Section 8 (3) no. 4 UWG. The defendant…
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Agency Agreement between the company ………………………. (name of the company and location of the headquarter) – hereinafter referred to as company – and Mr. / Company ……………………………. (name of the sales representative, address) – hereinafter referred to as commercial agent- § 1 Legal status of the commercial agent The commercial agent acts…
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EXW = Ex Works The responsibility is in this case on the seller. This delivers as soon as the goods have been provided to the buyer on the production site (warehouse, factory, etc.) without the goods being cleared for export and loaded onto a vehicle. This clause therefore constitutes the minimum obligation for the seller,…
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The commercial agent may have the right for a settlement claim at the end of the contractual agreement. This settlement represents the compensation for services provided by the commercial agent, which also have a beneficial effect on the entrepreneur after the contractual relationships has ended. The appropriate compensation therefore related to expected sales to the…
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Characteristics of a commercial agent/sales representative Sections 84 to 92c of the German Commercial Code (HGB-Handelsgesetzbuch) regulate the rights and obligations of the commercial agent and the company represented. According to section 84 HGB, a commercial agent is the person entitled in representing an independent trader, mediating with other entrepreneurs or finalizing businesses on its…
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Commercial law concerns all the relations between business partners. The most important legal regulation in Germany is the commercial code (Handelsgesetzbuch – HGB). In every business negotiations, HGB applies. Many questions of interpretation are also solved and regulated by the statute law, commercial practice and trade customs. German commercial law has been heavily influenced by…
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