The Federal Court of Justice has ruled that when determining insolvency, the liabilities (Liabilities II) that fall due within the three-week period after the reporting date must also be taken into account. Furthermore, the decision specifies the considerable evidence and presentation requirements for managing directors of a limited liability company who is being claimed by the insolvency administrator because of the initiation of payments after insolvency maturity.
https://honert.de/wp-content/uploads/honert_logo_270px.png00Ester Hahnhttps://honert.de/wp-content/uploads/honert_logo_270px.pngEster Hahn2018-07-02 09:30:422019-09-09 10:37:27BGH ON THE DETERMINATION OF INSOLVENCY: LIABILITIES II MUST BE TAKEN INTO ACCOUNT
The Federal Court of Finance assed an interesting decision (file no. VIII R 13/15), regarding the decision of the BFH (file no. IX R 36/15) in Q4: Accordingly, the final default of a loan leads to a loss recognized for tax purposes which must be taken into account on income from capital assets. It can be assumed that this also applies to shareholder loans and a shareholder may even benefit from a higher tax recognition than with a consideration as subsequent acquisition costs.
https://honert.de/wp-content/uploads/honert_logo_270px.png00Ester Hahnhttps://honert.de/wp-content/uploads/honert_logo_270px.pngEster Hahn2018-07-02 09:20:322019-09-09 10:55:11A FINAL DEFAULT OF A SHAREHOLDER LOAN MUST BE TAKEN INTO ACCOUNT AS A LOSS ON INCOME FROM CAPITAL ASSETS – THIS IS WHAT SHAREHOLDERS SHOULD CONSIDER IN THE FUTURE
According to the unanimous view in the literature on the AÜG, provisions under the AÜG are not applicable to managing directors. The Higher Social Court of Berlin-Brandenburg recently ruled that managing directors are subject to a statutory pension insurance due to an unauthorized temporary employment in accordance with the AÜG. Therefore, the question arises, whether and to what extent an employment of a managing director can nonetheless be affected by the AÜG.
The Federal Court of Justice [Bundesgerichtshof – BGH] commented on the admissibility of the furnishing of securities granted by companies in favor of their shareholders and on the so-called capital maintenance rules in AGs [Aktiengesellschaft – stock corporation] and GmbHs [Gesellschaft mit beschränkter Haftung – limited liability companies]. Capital maintenance rules have an “indirect” effect […]
https://honert.de/wp-content/uploads/honert_logo_270px.png00Ester Hahnhttps://honert.de/wp-content/uploads/honert_logo_270px.pngEster Hahn2018-03-28 15:55:082019-09-03 16:40:03FURNISHING OF UPSTREAM SECURITIES – HERE IS WHAT MANAGING DIRECTORS SHOULD PAY ATTENTION TO
By order of 19 January 2017 (file reference: VII ZR 112/14), the Federal Court of Justice [Bundesgerichtshof – BGH] declared a private company limited by shares sued in Germany which was removed from the companies register in England (foundation state) incapable of being a party to proceedings. The order also gives occasion to analyze the […]
https://honert.de/wp-content/uploads/honert_logo_270px.png00Ester Hahnhttps://honert.de/wp-content/uploads/honert_logo_270px.pngEster Hahn2018-03-28 15:50:202018-04-05 15:14:21LOSS OF PROCEDURAL CAPACITY OF A PRIVATE COMPANY LIMITED BY SHARES SUED IN GERMANY
Compliance clauses are nowadays a standard component of many (framework) supply agreements between companies. When introducing these clauses into contract negotiations, they are often extremely one-sided and present a high risk for the clause addressee. The following article demonstrates approaches and arguments which can help to achieve a proper limitation of a compliance clause.
BGH ON THE DETERMINATION OF INSOLVENCY: LIABILITIES II MUST BE TAKEN INTO ACCOUNT
/in 2018 Q2/by Ester HahnThe Federal Court of Justice has ruled that when determining insolvency, the liabilities (Liabilities II) that fall due within the three-week period after the reporting date must also be taken into account. Furthermore, the decision specifies the considerable evidence and presentation requirements for managing directors of a limited liability company who is being claimed by the insolvency administrator because of the initiation of payments after insolvency maturity.
A FINAL DEFAULT OF A SHAREHOLDER LOAN MUST BE TAKEN INTO ACCOUNT AS A LOSS ON INCOME FROM CAPITAL ASSETS – THIS IS WHAT SHAREHOLDERS SHOULD CONSIDER IN THE FUTURE
/in 2018 Q2/by Ester HahnThe Federal Court of Finance assed an interesting decision (file no. VIII R 13/15), regarding the decision of the BFH (file no. IX R 36/15) in Q4: Accordingly, the final default of a loan leads to a loss recognized for tax purposes which must be taken into account on income from capital assets. It can be assumed that this also applies to shareholder loans and a shareholder may even benefit from a higher tax recognition than with a consideration as subsequent acquisition costs.
DOES THE GERMAN TEMPORARY EMPLOYMENT ACT [“ARBEITNEHMERÜBERLASSUNGSGESETZ” – AÜG] APPLY TO MANAGING DIRECTORS?
/in 2018 Q2/by Ester HahnAccording to the unanimous view in the literature on the AÜG, provisions under the AÜG are not applicable to managing directors. The Higher Social Court of Berlin-Brandenburg recently ruled that managing directors are subject to a statutory pension insurance due to an unauthorized temporary employment in accordance with the AÜG. Therefore, the question arises, whether and to what extent an employment of a managing director can nonetheless be affected by the AÜG.
FURNISHING OF UPSTREAM SECURITIES – HERE IS WHAT MANAGING DIRECTORS SHOULD PAY ATTENTION TO
/in 2018 Q1/by Ester HahnThe Federal Court of Justice [Bundesgerichtshof – BGH] commented on the admissibility of the furnishing of securities granted by companies in favor of their shareholders and on the so-called capital maintenance rules in AGs [Aktiengesellschaft – stock corporation] and GmbHs [Gesellschaft mit beschränkter Haftung – limited liability companies]. Capital maintenance rules have an “indirect” effect […]
LOSS OF PROCEDURAL CAPACITY OF A PRIVATE COMPANY LIMITED BY SHARES SUED IN GERMANY
/in 2018 Q1/by Ester HahnBy order of 19 January 2017 (file reference: VII ZR 112/14), the Federal Court of Justice [Bundesgerichtshof – BGH] declared a private company limited by shares sued in Germany which was removed from the companies register in England (foundation state) incapable of being a party to proceedings. The order also gives occasion to analyze the […]
COMPLIANCE CLAUSES WITHIN SUPPLY CHAINS
/in 2018 Q1/by Ester HahnCompliance clauses are nowadays a standard component of many (framework) supply agreements between companies. When introducing these clauses into contract negotiations, they are often extremely one-sided and present a high risk for the clause addressee. The following article demonstrates approaches and arguments which can help to achieve a proper limitation of a compliance clause.