Resolve a Shareholder Dispute in Germany

Resolve a Shareholder Dispute in Germany

Updated on Tuesday 23rd August 2016

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Resolve-a-Shareholder-Dispute-in-Germany.jpgVarious actors in a company, including shareholders, can enter into disputes throughout the lifetime of the respective business. The German legislation prescribes the legal ways in which different types of conflicts can be resolved here, from out-of-court methods to litigation, which will require the assistance of a judge. In Germany, the shareholders disputes can be resolved in accordance with the specifics of the case and the legal entity of the respective company. Our team of German lawyers can offer legal assistance to the shareholders who are involved in any type of dispute

Types of resolution methods in Germany  

Regardless of the commercial conflict in which a key-player of a company is involved in, the German legislation prescribes two main types of resolution methods
The first will refer to the out-of-court procedures which do not require the assistance of a lawyer. One of the main ways to resolve a shareholder dispute is through mediation, which is a procedure that can be enforced only when the two parties are interested in settling the conflict in an amicable manner. 
This is the most common alternative dispute resolution in Germany and it can be performed outside the court under the rules and regulations of the German Mediation Act. However, it is important to know that Germany does not apply the alternative dispute resolutions very often, as most of the Germans prefer to address to the local courts, which are known for their effective rulings. 
As a general rule, most of the shareholders disputes are resolved through litigation. Litigious cases can be brought in front of the court in a period of three years, but this can depend upon the specifics of the case and it can grow up to 30 years; our team of German attorneys can offer assistance on this matter. 

Shareholders disputes in Germany 

Some of the most common shareholders disputes can refer to the following matters: 
the company is run mainly in the benefit of other shareholders;
the directors take over on the shareholders’ responsibilities;
the sale of shares;
the valuation of shares owned by the shareholders;
taxation issues. 
Businessmen interested in receiving more details in the ways in which shareholders disputes can be resolved in Germany can address to our German law firm for legal representation.