Commercial Litigation in Germany
Commercial Litigation in Germany
Updated on Thursday 12th May 2016 Rate this article
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Foreign investors involved in a commercial dispute in Germany can appeal to several legal methods enforced to resolve this type of issue. Commercial disputes in Germany can be solved through litigation and arbitration. Although the law stipulates that a commercial dispute can be solved through arbitration, it is important to know that this procedure is rarely used, as the Germans prefer solving their legal issues through litigation, due to its efficient proceedings. Businessmen who want to receive more details on the main steps of the commercial litigation can address to our team of German attorneys.
Litigation for commercial cases in Germany
Commercial litigation in Germany refers to those types of commercial situations involving two parties that have signed a contract, in which one of the parties (or both) did not respect the provisions of that particular contract.
Corporate disputes that can be resolved in a German court are based on the rules and regulations of the German Stock Companies Act and the Limited Liability Company Act; still, the term "corporate" also includes legal issues that can derive from mergers and acquisition processes. Our team of German lawyers can provide more details on the meaning of corporate litigation.
Court proceedings for a litigation case in Germany
As a general rule, a commercial litigation case can be brought to the court within three years, but this can depend on the specific situation in which the company is involved in.
The period can grow up to ten year for the transfer of ownership in the case or real estate claims.
The first instance courts to which investors can address to are the local civil courts, for both civil and criminal matters, or to the regional civil courts. Commercial disputes can be addressed at the regional courts if the claims are above EUR 5,000; for cases where the sum is below EUR 5,000, the persons can address to the local civil courts. For commercial disputes involving large sums of money, the regional courts will hear the case with the assistance of the three judges (which is the maximum number of judges to establish a full chamber).
Businessmen who need further information on the commercial litigation cases in Germany can contact our German law firm for legal advice.